IFWF Educational Program for Teenagers
Lesson plan
About Us
Contents
Unit 1: Foundations of the U.S. Legal System
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Lesson 1: The U.S. Constitution and Its Role in Economics
Lesson 2: Congress and Economic Lawmaking
Lesson 3: Property Rights and Counterfeiting
Unit 2: Economic Laws and Regulations
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Lesson 4: Taxes and Fiscal Policy
Lesson 5: The Role of Regulatory Agencies
Unit 3: The U.S. Economy in a Globalized World
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Lesson 6: Globalization and Global Marketplace
Lesson 7: Global Trade and Exchange Rates
Unit 4: Economic Policies and Growth
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Lesson 8: Economic Growth and Monetary Policy
Lesson 9: Government Debt and Fiscal Responsibility
Unit 1: Foundations of the U.S. Legal System
Lesson 1: The U.S. Constitution and Its Role in Economics
1. Key Vocabulary:
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Constitution: A set of fundamental principles that govern the United States, serving as the supreme legal
framework for the country. Think of it as the “rulebook” for the government, ensuring that everyone
(citizens, government officials, institutions) abides by the same set of laws.
Example: Just like a school rulebook dictates how students and teachers should behave, the Constitution sets
guidelines for how laws are made, interpreted, and enforced. For instance, the Constitution ensures that laws
are applied equally, such as protecting the right to free speech.
Commerce Clause: A provision in the Constitution that gives Congress the authority to regulate trade and
commerce between states, with foreign nations, and with Native American tribes.
Example: Imagine a student-run snack shop in a school. They are allowed to sell snacks in the cafeteria but
not to students in other schools. The Commerce Clause acts like that restriction, ensuring that trade activities
across state lines are managed by a single authority (Congress) to maintain fairness and consistency.
Real-world example: This clause is why a state cannot impose tariffs on goods coming from another state.
Federalism: The division of power between the federal government and state governments. Federalism
ensures that certain responsibilities are managed by the central government while others are handled by
individual states.
Example: Think of a household where the parents manage big responsibilities like paying bills and groceries,
while children handle smaller tasks like cleaning their rooms. Similarly, the federal government manages
nationwide policies (e.g., national defense), while states handle local matters like education and traffic laws.
Real-world example: The federal government handles immigration laws, while states decide on issues like
speed limits or school curriculums.
Amendments: Changes or additions made to the Constitution to address new challenges or ensure rights are
upheld.
Example: Amending the Constitution is like revising house rules after a family meeting. If the rule about
screen time needs updating as kids grow older, the family might agree on an amendment. Similarly, the
Constitution has been amended 27 times, including major changes like abolishing slavery (13th Amendment)
and giving women the right to vote (19th Amendment).
2. Topics Covered:
• The Constitution as the legal foundation for economic laws.
• How economic policies (e.g., trade and taxes) are framed by constitutional principles.
• The role of the Supreme Court in interpreting economic laws.
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3. Sample Activity:
• Analyze Landmark Cases:
Study cases such as Gibbons v. Ogden (1824) to understand how constitutional principles are applied to
economic matters.
Activity example: Have students create a timeline showing how this case influenced subsequent laws
regulating commerce, such as transportation laws for goods shipped across states.
• Debate Activity:
Organize a debate where one team defends federal control of trade policies, while the other advocates for
state control. This helps students understand federalism and the Commerce Clause in action.
4. Further Resources:
National Constitution Center: Interactive Constitution.
iCivics: Games like “Branches of Power” for a hands-on understanding of government functions.
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Lesson 2: Congress and Economic Lawmaking
1. Key Vocabulary:
Bicameral: A legislative system that consists of two separate chambers: the Senate and the House of
Representatives. These two bodies work together to create and pass laws.
Example: Think of Congress as a sports league with two divisions (Senate and House) working for the same
championship. While they have distinct roles, they must collaborate to succeed.
Real-world Example: The House proposes spending bills, while the Senate debates and modifies them before
they become law.
Legislation: Laws created and passed by Congress.
Example: Legislation is like a student council making a rule that everyone in the school must follow, such as a
policy requiring students to recycle.
Real-world Example: The Affordable Care Act (ACA) was a piece of legislation designed to reform the
healthcare system.
Appropriation: The allocation of funds by Congress for specific government activities or purposes.
Example: It’s like budgeting your allowance. You might set aside part of it for snacks, part for saving, and
part for a new video game.
Real-world Example: Congress decides how much money will go to education, defense, healthcare, or
infrastructure projects through appropriation bills.
2. Topics Covered:
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• The process of crafting and passing economic laws.
• Role of committees in debating fiscal policies and regulations.
3. Sample Activity:
• Research and Present an Economic Bill Debated in Congress:
Choose a recent bill, such as a stimulus package, and explore its path to becoming law.
Activity Example:
1. Identify the key components of the bill (e.g., aid to small businesses, unemployment
benefits).
2. Examine debates in committees and on the House/Senate floors.
3. Discuss how changes were made before the final version was passed.
• Mock Legislative Session:
Students can simulate Congress by dividing into a House and Senate. Propose an economic bill, assign
committees, and debate its merits. This hands-on activity helps illustrate the legislative process.
4. Further Resources:
Congress.gov for real-time legislative updates.
Classroom materials from the Center on Congress at Indiana University.
Lesson 3: Property Rights and Counterfeiting
1. Key Vocabulary:
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Intellectual Property (IP): Creations of the mind (e.g., inventions, designs, music, art, and brands) that are
protected by law. Intellectual property rights allow creators to benefit financially and reputationally from their
work.
Example: If you write a song, the copyright ensures no one can reproduce or sell it without your permission.
If a company tries to use your song in a commercial, they need to pay for the rights to do so.
Trademark: A symbol, word, or design that identifies and distinguishes a brand or product.
Example: The Nike swoosh logo is a trademark. When you see it, you immediately associate it with Nike
products.
Real-world Example: Coca-Cola’s logo and its iconic bottle shape are both protected trademarks.
Patent: A legal right granted to an inventor to exclusively make, use, or sell their invention for a certain
period. Patents encourage innovation by ensuring inventors are rewarded for their efforts.
Example: If you invent a new eco-friendly phone charger and obtain a patent, no one can legally manufacture
or sell the charger without your permission.
Real-world Example: The original design for the iPhone was protected by a patent, which prevented
competitors from copying its features.
Counterfeit: Fake versions of branded goods, often made to deceive consumers. Counterfeits violate IP laws
and harm businesses.
Example: A fake Gucci handbag might look authentic, but it’s counterfeit because it wasn’t made or
authorized by Gucci.
Real-world Example: Counterfeit pharmaceuticals are a growing problem, endangering health while harming
legitimate drug companies.
2. Topics Covered:
• Importance of protecting intellectual and physical property.
• How counterfeiting impacts businesses and innovation.
3. Sample Activity:
• Compare a Genuine Product with a Counterfeit:
Choose a popular product (e.g., a pair of Nike sneakers or a designer bag) and compare it to a counterfeit
version. Discuss how the counterfeit affects the brand’s reputation, revenue, and the economy.
Steps for the activity:
1. Examine differences in quality, design, and price.
2. Research how the brand enforces IP protections against counterfeiters.
3. Analyze how consumers can identify and avoid counterfeits.
• Role-Playing Debate:
Divide students into groups representing various stakeholders: a business owner, a consumer, an IP lawyer,
and a counterfeiter. Have them debate the economic and ethical implications of counterfeiting.
4. Further Resources:
WIPO educational resources.
U.S. Patent and Trademark Office (USPTO) materials.
Unit 2: Economic Laws and Regulations
Lesson 4: Taxes and Fiscal Policy
1. Key Vocabulary:
Fiscal Policy: The government’s strategy of using spending and taxation to influence the economy. Fiscal
policy helps stabilize economic growth, control inflation, and reduce unemployment.
Example: Think of fiscal policy as deciding how to use your weekly allowance—how much to spend on
snacks, how much to save, and whether to borrow money for a larger purchase. Similarly, governments
decide how much to allocate for public projects like schools, roads, and defense, and how to collect money
through taxes.
Deficit: When government spending exceeds its revenue in a given period.
Example: If you only have $10 but need $15 to buy lunch, you might borrow $5 from a friend. That $5 is
your deficit for the day.
Real-world Example: The U.S. federal government often operates with a budget deficit when spending on
programs like infrastructure or healthcare exceeds the revenue collected from taxes.
Surplus: When government revenue exceeds its spending.
Example: If you have $20 but only spend $15 on a concert ticket, you have a $5 surplus.
Real-world Example: Governments with surpluses can use the extra funds to pay down debt, save for
emergencies, or invest in new programs.
2. Topics Covered:
• Why taxes are necessary and how they fund public services.
• The relationship between fiscal policy and economic growth.
3. Sample Activity:
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• Create a Mock Government Budget:
Divide students into groups representing a government. Have them create a budget, allocating funds to areas like education, defense, healthcare, and infrastructure. They must balance their spending with a set revenue limit (tax income) and decide whether to run a surplus or deficit.
Steps for the Activity:
1. Assign revenue based on “tax collections” (e.g., $100 million).
2. Allow groups to debate priorities (e.g., should more money go to healthcare or defense?).
3. Discuss the trade-offs, such as cutting spending in one area to fund another.
• Role-Playing Debate:
Assign roles such as a taxpayer, government official, or economist. Debate the merits of raising taxes to fund new programs versus cutting taxes to encourage business growth.
4. Further Resources:
Federal Reserve Bank’s classroom resources on fiscal policy.
The Brookings Institution’s explainer videos on government budgets.
Lesson 5: The Role of Regulatory Agencies
1. Key Vocabulary:
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Regulation: Rules established by the government to control business activities, ensure safety, and maintain
fairness in the economy. Regulations aim to protect consumers, workers, and the environment.
Example: A school dress code is a regulation designed to ensure everyone follows the same rules for what
they wear, promoting uniformity and fairness. Similarly, businesses must follow regulations to ensure safety
and honesty.
Real-world Example: Food safety regulations by the FDA (Food and Drug Administration) ensure the food
you buy at a store is safe to eat.
Environmental Protection Agency (EPA): A government agency tasked with protecting the environment
and ensuring public health through environmental regulations.
Example: The EPA is like the school janitor who ensures the campus stays clean and safe for everyone by
implementing rules like “no littering.”
Real-world Example: The EPA regulates pollution from factories to ensure clean air and water for
communities.
Federal Trade Commission (FTC): An agency focused on promoting fair competition and protecting
consumers from unfair or deceptive business practices.
Example: The FTC is like a teacher who makes sure nobody cheats during a test, ensuring everyone has an
equal chance to succeed.
Real-world Example: The FTC investigates and stops companies from engaging in monopolistic practices or
false advertising.
2. Topics Covered:
• Functions of key regulatory agencies in the U.S.
• How regulations protect consumers, workers, and the environment.
3. Sample Activity:
• Investigate a Real FTC Case:
Have students research an FTC case where a company was investigated for unfair business practices.
Steps for the Activity:
1. Select a case (e.g., a false advertising claim or an anti-competitive merger).
2. Analyze the FTC’s role in investigating the company and its findings.
3. Discuss the outcome and its implications for businesses and consumers.
Example Case: The FTC’s action against Facebook for privacy violations, resulting in a significant fine and
stricter data privacy policies.
• Role-Playing Debate:
Assign students roles such as a consumer advocate, a business owner, and a regulatory agency representative.
Debate the impact of new regulations on consumer safety, business costs, and innovation.
4. Further Resources:
EPA’s educational resources for students.
FTC’s “You Are Here” consumer education game.
Unit 3: The U.S. Economy in a Globalized World
Lesson 6: Globalization and Global Marketplace
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1. Key Vocabulary:
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Globalization: The integration of markets, cultures, and economies across the world, facilitated by
advancements in technology, trade, and communication.
Example: Globalization is like using social media to connect with friends worldwide and share ideas instantly.
Similarly, businesses and goods now move seamlessly between countries.
Real-world Example: Products like smartphones are designed in the U.S., manufactured in China, and sold
globally, illustrating the interconnectedness of markets.
Trade Deficit: A situation where a country imports more goods and services than it exports, leading to more
money flowing out of the country than coming in.
Example: If your school buys $50 worth of snacks from another school but only sells $30 worth of drinks to
them, you have a trade deficit of $20.
Real-world Example: The U.S. has a trade deficit with China because it imports more goods from China than
it exports to them.
Multinational Corporation (MNC): Companies that operate in multiple countries, often producing and
selling goods on a global scale.
Example: McDonald’s is an MNC because its restaurants operate in many countries around the world.
Real-world Example: Apple designs products in the U.S., assembles them in other countries like China, and
sells them globally.
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2. Topics Covered:
• Benefits and challenges of globalization.
• The role of technology and trade agreements in expanding markets.
3. Sample Activity:
• Group Debate:
Divide the class into two groups to debate whether globalization is more beneficial or harmful to the U.S.
economy.
Steps for the Activity:
1. Assign one group to argue in favor of globalization, focusing on benefits like access to
cheaper goods, cultural exchange, and economic growth.
2. Assign the other group to argue against globalization, citing job outsourcing, environmental
concerns, and cultural homogenization.
3. Have a class vote to determine which side made the stronger case.
• Trade Simulation:
Simulate a global trade marketplace where students represent countries or companies negotiating trade deals,
importing and exporting goods based on their resources.
4. Further Resources:
World Trade Organization (WTO) educational portal.
TED-Ed videos on globalization.
Lesson 7: Global Trade and Exchange Rates
1. Key Vocabulary:
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Exchange Rate: The value of one currency in relation to another currency, which determines how much of
one currency is needed to purchase a unit of another.
Example: If $1 equals 120 Japanese yen, you’ll need 120 yen to buy something priced at $1 in Japan.
Real-world Example: When the U.S. dollar strengthens, it becomes cheaper for Americans to buy imported
goods or travel abroad, but it may hurt U.S. exporters as their goods become more expensive for foreign
buyers.
Tariff: A tax imposed on imported goods, making them more expensive. Tariffs are often used to protect
domestic industries or to generate revenue.
Example: If your school buys snacks from another school and there’s a $1 fee added to bring them in, that’s a
tariff.
Real-world Example: In 2018, the U.S. imposed tariffs on Chinese steel and aluminum imports, raising their
prices to encourage domestic production.
Trade Agreement: An agreement between two or more countries to facilitate trade by reducing barriers such
as tariffs or import quotas.
Example: NAFTA (North American Free Trade Agreement) eliminated many trade barriers between the U.S.,
Canada, and Mexico, allowing goods to flow more freely.
Real-world Example: The USMCA (United States-Mexico-Canada Agreement) replaced NAFTA in 2020,
modernizing trade rules for the digital economy and strengthening labor standards.
2. Topics Covered:
• How exchange rates influence international trade and travel.
• The impact of trade agreements like NAFTA or USMCA.
3. Sample Activity:
• Track Currency Values and Discuss Impact:
Have students track the exchange rates of major currencies (e.g., U.S. dollar, euro, Japanese yen, and Chinese
yuan) over one week and explore how fluctuations affect global businesses.
Steps for the Activity:
1. Choose 3-5 currencies and observe how their exchange rates change daily.
2. Discuss potential reasons for these changes (e.g., geopolitical events, economic reports).
3. Examine the impact of these changes on businesses. For example, how would a weaker U.S.
dollar benefit American exporters or impact import prices?
• Mock Trade Negotiation:
Simulate a trade negotiation where students represent different countries trying to agree on terms for reducing
tariffs or creating a trade deal. Discuss the potential benefits and challenges for each country.
4. Further Resources:
IMF’s “Back to Basics” series.
National Geographic’s resources on global trade.
Unit 4: Economic Policies and Growth
Lesson 8: Economic Growth and Monetary Policy
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1. Key Vocabulary:
Gross Domestic Product (GDP): The total monetary value of all finished goods and services produced
within a country during a specific period. GDP is a key indicator of a country’s economic performance.
Example: GDP is like the total earnings from a school bake sale. If students made $500 this year compared to
$400 last year, it shows the bake sale was more successful this year.
Real-world Example: A growing GDP often indicates a healthy economy, while a shrinking GDP may signal
a recession.
Inflation: The sustained increase in the overall price level of goods and services over time, reducing the
purchasing power of money.
Example: If a slice of pizza cost $1 last year but now costs $2, that’s inflation.
Real-world Example: High inflation in the 1970s in the U.S. led to soaring prices, prompting aggressive
measures from the Federal Reserve to stabilize the economy.
Monetary Policy: Actions by a central bank (such as the Federal Reserve) to control the money supply and
interest rates to influence economic growth, inflation, and unemployment.
Example: If the principal lowers prices at the school snack shop to encourage more sales, that’s like the
Federal Reserve lowering interest rates to stimulate borrowing and spending in the economy.
Real-world Example: In response to the COVID-19 pandemic, the Federal Reserve lowered interest rates to
near zero to encourage economic activity.
2. Topics Covered:
• Factors contributing to economic growth.
• How the Federal Reserve uses interest rates to manage inflation and unemployment.
3. Sample Activity:
• Simulation: Adjust Interest Rates to Stabilize the Economy:
Create a hypothetical economic scenario where students act as Federal Reserve policymakers.
Steps for the Activity:
1. Provide data on GDP, inflation, and unemployment.
2. Have students analyze the data and decide whether to raise, lower, or maintain interest rates.
3. Discuss the potential outcomes of their decisions.
Example Scenario: If inflation rises to 5%, students might recommend raising interest rates. If unemployment
is high at 8%, they might lower rates to stimulate job creation.
• GDP Growth Project:
Research GDP trends for a country or region over the last decade and analyze factors contributing to growth
or decline.
4. Further Resources:
Federal Reserve Bank’s “Invest in What’s Next” tool for students.
Bureau of Economic Analysis (BEA) GDP data.
Lesson 9: Government Debt and Fiscal Responsibility
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1. Key Vocabulary:
National Debt: The total amount of money a government owes to creditors, accumulated over years of
borrowing to fund expenditures.
Example: If your parents use a credit card to buy groceries and plan to pay it off later, that’s like national
debt—but on a much larger scale, involving billions or trillions of dollars.
Real-world Example: The U.S. national debt exceeds $30 trillion, reflecting decades of borrowing to fund
programs like Social Security, military spending, and infrastructure projects.
Bond: A type of loan made to the government (or corporations) by investors, with the promise of repayment
plus interest after a specific period.
Example: If your friend lends you $10 and you promise to repay $12 next month, the extra $2 is like the
interest on a bond.
Real-world Example: U.S. Treasury bonds are a popular investment worldwide because they are considered
safe and reliable.
Deficit Spending: When a government spends more money than it collects in revenue during a specific
period, resulting in borrowing to cover the difference.
Example: Spending $30 on a new game when you only have $20 and borrowing the rest is deficit spending.
Real-world Example: During economic downturns, governments often engage in deficit spending to stimulate
the economy, such as funding unemployment benefits and public works.
2. Topics Covered:
• Why governments borrow money and the implications of debt.
• Comparing national debt levels across countries.
3. Sample Activity:
• Graph the Growth of U.S. National Debt Over the Past Decade:
Use data to create a graph showing how the U.S. national debt has increased over time. Analyze the factors
contributing to growth, such as major economic events, tax cuts, or spending programs
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Steps for the Activity:
1. Research debt levels at specific intervals (e.g., every five years).
2. Identify major events (e.g., 2008 financial crisis, COVID-19 pandemic) and their impact on borrowing.
3. Discuss the implications of rising debt for future generations.
• Debt Comparison Project:
Compare the national debt of two countries, such as the U.S. and Japan, focusing on debt-to-GDP ratios and
fiscal policies. Discuss what these numbers mean for each country’s economy.
4. Further Resources:
U.S. Debt Clock.
Committee for a Responsible Federal Budget.