TAILIEUCHUNG - This material is from the Council for Economic Education

Other arguments have been raised to explain the existence of high executive salary, but they are not ethical justifi cations. An example is the claim that executive salaries are an example of “the economics of superstars”. Th ere are some fi elds, notably sporting, arts and entertainment, where “superstar” performers may earn rewards far greater than the average for that fi eld. Th e potential incomes in these fi elds have the character of prizes in a tournament, with a comparatively small number of prizes rela- tive to the number of competitors. It has been recognized in economic analysis. | SAMPLE MATERIALS This material is from the Council for Economic Education To find out more about this publication visit http PERMISSIONS AND USAGE You have permission to use and share this document as long as you make no changes or edits to its contents or digital format. You can post this email this print this share with your colleagues and pass it along for free to anyone you like. If you post it to a website or intranet please provide the following attribution Courtesy of the Council for Economic Education. For more economic and personal finance lesson plans visit http COUNCIL FOR Economic Education http http Teaching Opportunity Chapter 3 How to Start a Mini-Economy Five Basic Steps Teachers are often enthusiastic about starting mini-economies in their own classrooms but sometimes are overwhelmed by the seemingly complex nature of the task. The guidelines presented in this chapter will help any teacher who wants to take that first step in implementing this unique form of instruction. Although the exact sequence may vary a program can begin with these five steps Five Steps for Starting a Mini-Economy Step 1 Design the Classroom Money Step 2 Decide How Students Will Earn the Money Step 3 Determine What Items and Privileges the Money Will Buy Step 4 Determine How to Distribute Items and Privileges Step 5 Do It 35 Step 1 Design the Classroom Money The production and consumption of goods and services in modern economic systems is helped immeasurably by the use of money. The classroom economy will be no different some form of classroom currency will be necessary. It can be designed by the teacher or by a more artistic person perhaps the school art teacher. Many teachers let their students design the currency and then vote on the design they like best. You can also copy the currency provided in Appendix A of this publication. It is not absolutely necessary to use

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