Course Profile The Individual and the Economy, Grade 11,
University/College Preparation, Catholic
Unit
6: International Trade
Time: 16 hours
Activity 1 | Activity 2
| Activity 3 | Activity 4
| Activity 5
This
unit builds upon the macro economic concepts introduced in the previous unit.
The study of international trade requires students to examine the benefits,
which result when economies specialize and then trade with other economies. All
countries gain when each “does what they do best”, as per the theory of
comparative advantage. This examination of relative strengths and weaknesses
between nations should help students to respect and affirm the diversity and
interdependence of the world’s peoples and cultures in order for trade among
nations to be used to the mutual benefit of all. Students consider the role and
motivation of various stakeholders in Canada who stand to gain from
international trade. These stakeholders include entrepreneurs, consumers,
employees, shareholders, and government, as well as Canada’s trading partners.
To
understand current trade trends, as well as historical trade relationships,
students examine statistics outlining imports and exports. Students are
required to read data displayed in a variety of ways (e.g., graphs, charts,
tables). This examination of current and past trends provides the basis for
students to forecast future trends in trade.
Once
students have examined the theoretical benefits of trade, have considered the
role of the various stakeholders affected by trade, and have examined empirical
statistics concerning Canada’s current and past trade patterns, they explore
the importance of international trade to Canada’s economic health. Tariffs,
quotas, and other trade barriers may be examined to demonstrate the negative
ramifications of a world with reduced trade. The significance of Canada’s
relationships with her major trading partners is identified. Students examine
the important and unique trade relationship with the United States, including
an assessment of the North American Free Trade Agreement. The unit concludes
with a culminating activity intended to challenge students to use the knowledge
and skills which have been developed throughout the unit to prepare a major
paper or seminar related to international trade. This examination of
international trade helps students to evaluate whether Canada’s trade patterns
have upheld Catholic social teaching by promoting equality, democracy, and
solidarity for a just, peaceful and compassionate world.
|
Activity |
Time |
Expectations |
Assessment |
Tasks |
|
6.1 Comparative Advantage Theory |
3.5 hours |
DMV.02, DMV.03, SIV.02, DM2.02, SI2.01, CGE 2a, CGE 2b, |
Knowledge Thinking Communication Application |
Northern Territories simulation |
|
6.2 Stakeholders |
3.75 hours |
EI1.03, EI1.04, CGE 1d, CGE 2b, CGE 2c, |
Knowledge |
Scrapbook of foreign articles |
|
6.3 Statistics |
2.5 hours |
SI1.03, SI2.03, CGE 2e, CGE 3f, CGE 7g |
Knowledge |
Trade Data Analysis |
|
6.4 Canada ‘s Major Trading Partners |
3.75 hours |
SI2.03, SI2.04, EC5.03,
SIV.02, DM3.01, DM3.02, CGE 3a, CGE 4a, |
Knowledge |
Canada – U.S. relations |
|
6.5 Culminating Activity |
2.5 hours |
SIV.02, SI2.01, SI2.02, SI2.03, EC5.05, EC5.03, CGE 2c, CGE 2d, CGE 3e |
Thinking |
Major Written Paper |
Time: 3.5 hours
Students
are introduced to the concepts of absolute and comparative advantage and why
countries trade with one another. Students should begin to understand why trade
between countries is mutually beneficial to all concerned regarding the common
good for humanity. This examination of relative strengths and weaknesses
between nations helps students to respect and affirm the diversity and
interdependence of the world’s peoples and cultures and the need for trade
among nations to be used to the mutual benefit of all.
Learning
Expectations
DMV.02 -
use economic concepts and models, and methods of economic inquiry, to analyse
specific economic situations;
DMV.03 -
make critical use of different types and sources of economic information;
SIV.02 -
describe the extent, nature, and impact of
DM2.02 -
use economic models (e.g., competitive market) to analyse economic
relationships and to forecast outcomes (e.g., how changes in supply and demand
affect price and output);
SI2.01 -
explain the benefits to trading partners of international specialization and
trade that arise from comparative advantage.
CGE 2a -
listen actively and critically to understand and learn in light of gospel
values;
CGE 2b -
read, understand and use written materials effectively;
CGE 3c -
think reflectively and creatively to evaluate situations and solve problems;
CGE 5a -
work effectively as interdependent team members;
CGE 5e -
respects the rights, responsibilities and contributions of self and others;
CGE 7f -
respect and affirm the diversity and interdependence of the world’s peoples and
cultures.
Preview
the video, “International Trade.”
·
general
knowledge of household products and countries of origin
·
general
knowledge of world geography and location of raw materials
1. Read the scenarios found in Appendix 6.1.1 -
Good Morning,
2. Divide the class into six groups, according
to Appendix 6.1.2 - Northern Territories Simulation. Through participation in
this simulation, students begin to
understand the concepts of absolute advantage and specialization in the
trading relationship. At the conclusion of the simulation, discuss the game
with the help of Simulation Game One (Appendix 6.1.4 is for the instructor but
some teachers may wish to make an overhead of it to show the students).
3. Using the groups used in Strategy 2, complete
Appendix 6.1.3 - Northern Territories Simulation, Part II. Through
participation in this part of the simulation, students begin to understand the
concept of comparative advantage and its importance in trade. Again, at the
conclusion, show and/or discuss using the information found on Simulation Game
One.
4. After Part II of the simulation, provide
students a handout using Simulation Game Two and discuss.
5. Show the video “International Trade – Episode
1” and discuss the realities of trade in
Formative
Appendix
6.1.1 – Good Morning,
Appendix
6.1.2 –
Appendix
6.1.3 –
Summative
Quiz –
teacher-developed (concepts of absolute and comparative advantage;
international trade terms)
·
Use
reading partners for students with limited reading skills.
·
Put
students in groups of mixed ability.
Video
“International
Trade” D.C. Heath, 1994. 32 min.
Appendix
6.1.1 – Good Morning, Canada
Appendix
6.1.2 – Northern Territories Simulation
Appendix
6.1.3 – Northern Territories Simulation, Part II
Appendix
6.1.4 – Simulation Game One (Teacher Information)
Appendix
6.1.5 – Simulation Game Two
Instructions
Read the
following scenario and fill in as many blanks as you can.
Scenario
1
Before
you arrived at school this morning, you, your classmates, and your families
probably used a wide variety of products that were not made in Canada.
1. If you or your family had orange juice, the
oranges probably came from __________.
2. The coffee that your parents (and teacher)
enjoyed this morning was grown in __________.
3. The sugar that was added to the coffee or
sprinkled on your cereal came to us from________________.
4. The dishes you used at breakfast may have
been made in __________.
5. The radio you listened to may have been
manufactured in __________.
6. The car your family drives was made in
__________.
Scenario
2
While we
are enjoying products from around the globe, at the same time the following
events are being observed:
7. Japanese are eating bread baked from wheat
that came from________.
8. In Britain, a gentleman is reading his
financial magazine that was printed on paper that was made in __________.
9. In the United States, construction workers
put the finishing touches on a home with wood that came from the forests of
__________.
10. A family in Paris enjoyed crepes topped with
maple syrup from __________.
You
are an inhabitant of one of six northern territories. Each territory produces
two products, apples and potatoes that all inhabitants need for survival. The
apples are gathered by scaling the trees and the potatoes are gathered from the
soil; therefore, no tools are required.
Each
territory can produce as many apples and potatoes as the inhabitants wish with
the expenditure of the amount of labour indicated on the chart provided (Table
6.1.2 a). Each individual in each territory has no preference for producing
apples or potatoes and is just as skilled at producing them as anyone else in
his or her territory. For a balanced diet, each citizen should consume equal
quantities of apples and potatoes.
As
you can see by the table, the six territories are divided into three regions.
There is communication only between the two territories in the same region.
There are no costs of transportation of either product between territories in
the same region. The inhabitants of the territories are not allowed to migrate
from one territory to another.
Table
6.1.2 a Northern Territories Simulation
|
East Region |
Spud Territory |
Mac Territory |
|
|
4 hours of labour produce 1 bushel of apples |
2 hours of labour produce 1 bushel of apples |
|
|
2 hours of labour produce 1 bushel of potatoes |
4 hours of labour produce 1 bushel of potatoes |
|
Central Region |
Tater Territory |
Spartan Territory |
|
|
3 hours of labour produce 1 bushel of apples |
2 hours of labour produce 1 bushel of apples |
|
|
2 hours of labour produce 1 bushel of potatoes |
3 hours of labour produce 1 bushel of potatoes |
|
West Region |
Bake Territory |
Delicious Territory |
|
|
5 hours of labour produce 1 bushel of apples |
1 hour of labour produce 1 bushel of apples |
|
|
1 hour of labour produce 1 bushel of potatoes |
5 hours of labour produce 1 bushel of potatoes |
Instructions
The class
divides into six groups, each representing the inhabitants of one territory.
The groups should arrange themselves in the classroom so that Spud Territory is
near Mac Territory, Tater Territory is near Spartan Territory, and Bake
Territory is near Delicious Territory. Refer to Table 6.11a to answer the questions.
Playing
the game
The
leader of your territory presents you with the following questions:
1. What is the total number of bushels of apples
that can be gathered in our territory in thirty hours?
2. What is the total number of bushels of
potatoes that can be gathered in thirty hours?
3. What is the opportunity cost (your leader
knows economics!) of one bushel of apples in our territory?
4. In our territory, what is one bushel of
apples worth in terms of potatoes?
5. In the other territory in our region, what is
1 bushel of apples worth in terms of potatoes?
You
report your findings to the leader, who replies: “As you know, there have been
mutterings of discontent in our territory because I was forced to raise taxes
to keep myself and my family adequately supplied with apples and potatoes, thus
diminishing the food supply available to other people. Is there any way that I
can increase the number of bushels of apples and potatoes available to the
people in the territory (or to raise their standard of living) without
increasing the hours of labour or buying any harvesting equipment? Please
present me with a detailed scheme as soon as possible.”
Each
group should then present their scheme to the rest of the class.
Suppose
different amounts of time are available for the production of potatoes and
apples, and different expenditures of labour are needed to produce apples and
potatoes in all cases. Otherwise there are no changes. See the new parameters in
Table 6.1.3 a below.
Table
6.1.3 a Northern Territories Simulation, Part II
|
East Region |
Spud Territory |
Mac Territory |
|
|
6 hours of labour produce 1 bushel of apples |
1 hour of labour produce 1 bushel of apples |
|
|
3 hours of labour produce 1 bushel of potatoes |
2 hours of labour produce 1 bushel of potatoes |
|
Central Region |
Tater Territory |
Spartan Territory |
|
|
8 hours of labour produce 1 bushel of apples |
4 hours of labour produce 1 bushel of apples |
|
|
4 hours of labour produce 1 bushel of potatoes |
2 hours of labour produce 1 bushel of potatoes |
|
West Region |
Bake Territory |
Delicious Territory |
|
|
12 hours of labour produce 1 bushel of apples |
2 hours of labour produce 1 bushel of apples |
|
|
6 hours of labour produce 1 bushel of potatoes |
4 hours of labour produce 1 bushel of potatoes |
Initially,
there is no trade between the two territories in each group, no tools are used
to produce potatoes and apples, and citizens need both potatoes and apples for
a balanced diet. There are no costs of transportation, and no migration between
territories.
Instructions
The class
divides into six groups, each group representing the citizens in one territory.
The groups representing the six different territories should arrange themselves
in the classroom so that Spud Territory is near Mac Territory, Tater Territory
is near Spartan Territory, and Bake Territory is near Delicious Territory. Use
Table 6.1.3 a to answer the questions.
Playing
the game
The
territory leader requests your group’s advice, stating the problem as follows:
“As you
know there have been loud protests in the territory since I was forced to raise
taxes to keep myself and my family adequately supplied with apples and potatoes,
thus diminishing the food supply available to other people. How can we increase
the amount of food available to the inhabitants of the territory without
increasing the hours of labour and investing in any harvesting equipment?
Please present me with a detailed plan and report to the class.”
Questions
Who would
gain by trade between the territories?
1. Suppose the leader of each territory imposed
a substantial tax on imported apples or potatoes.
What effect would the tax have on the amount of trade between the territories
in each region and the standard of living of each territory?
2. Generally speaking, in what circumstances is
trade most likely to take place?
3. Suppose people were given the freedom to
migrate, what incentive is there for them to move?
To which territories would they tend to move? Why?
Discussion
of the game re: Northern Territories
As
you saw in the Northern Territories simulation, Mac Territory had what is known
in economics as an “absolute advantage” in the production of apples, compared
to Spud Territory. This means that Mac Territory could produce apples with less
expenditure of labour than Spud Territory. Similarly, Spartan Territory had an
absolute advantage in the production of apples over Tater Territory and
Delicious Territory over Bake Territory. Bake Territory and Spud Territory, on
the other hand, were able to produce potatoes with less expenditure of labour
than the other territory in their group. They had an absolute advantage in the
production of potatoes.
Each
territory stands to gain by specializing in the production of that good by
which it has an absolute advantage. Spud, Tater, and Bake Territories gain by
specializing in the production of potatoes, Mac, Spartan, and Delicious
Territories gain from specialization in the production of apples. A discussion
on the impact weather may have on the supply of apples and/or potatoes and how
this may affect comparative advantage may be included here.
Discussion
of the game re: Northern Territories Part II
In
part II of the simulation, we might expect that trade between the two
territories in each group would not take place. After all, Mac, Spartan, and
Delicious Territories have an absolute advantage in the production of both
apples and potatoes. With the equivalent expenditures of labour, they can
produce more potatoes and apples than the other territories in the region. But,
as you no doubt have discovered, trade between the two territories in each
region is not only possible, it can also be advantageous to both territories.
Let’s
examine Mac and Spud Territories. Would it be more advantageous for Mac
Territory to produce whatever it needed and to ignore Spud Territory completely?
A comparison of the costs of production of apples and potatoes in both
territories is summarized in Appendix 6.1.5.
Production
Costs in Mac and Spud Territories
Labour
cost of production (in hours)
|
|
1 bushel of apples |
1 bushel of
potatoes |
|
Mac Territory |
1 |
2 |
|
Spud Territory |
6 |
3 |
Mac
Territory has an absolute advantage in the production of both apples and
potatoes. It has, however, more advantage in apples (1:6) than it has in
potatoes (2:3). Looking just at Mac Territory’s production, we see that Mac
Territory produces apples at less cost than potatoes (1 hour for 1 bushel of
apples compared to 2 hours for 1 bushel of potatoes). Mac Territory has a
comparative advantage in apples. Similarly, Spud Territory produces potatoes
more efficiently than apples (3 hours for 1 bushel of potatoes compared to 6
hours for 1 bushel of apples). Therefore, Spud Territory has a comparative
advantage in potatoes. Would trade be advantageous to both Mac and Spud
Territories? Let’s take the situation of Mac and Spud Territories having to
produce 8 bushels of apples and potatoes each, with no trade.
Before
trade
Mac
Territory – 8 hours would be devoted to gathering apples; 16 hours would be
devoted to collecting potatoes for 8 bushels of potatoes. Time required: 24
hours.
Spud
Territory – 48 hours would be devoted to gathering apples for 8 bushels of
apples; 24 hours would be devoted to collecting potatoes for 8 bushels of
potatoes. Time required: 72 hours.
Total
Production – 16
bushels of apples and 16 bushels of potatoes.
Now
let’s have Mac Territory and Spud Territory each specialize in the production
of the product in which each has a comparative advantage, using the same amount
of time.
With
trade
Mac
Territory – would produce 24 bushels of apples in 24 hours.
Spud
Territory – would produce 24 bushels of potatoes in 72 hours.
Total
Production – 24
bushels of apples and 24 bushels of potatoes.
We can
conclude from the example above that both Mac Territory and Spud Territory
could gain from trade since they are able to produce more of each product with
specialization than without specialization.
Time: 3.75 hours
The first
activity of the unit enabled students to examine the mutual benefits, which can
occur when nations trade with each other. Within a country, there are also
individual elements of an economy, which stand to benefit from both imports and
exports. Understanding the benefits to each of these various “stakeholders” is
the next logical step for students to take in examining Canada’s international
trade. The theoretical benefits of trade to various stakeholders (consumers,
manufacturers, labour, government) should first be examined. Students should
then assume the role of one of these stakeholders, in a trade simulation
activity which helps them to better understand the motivation (and conflicting
positions) of some of the stakeholders as well as create a better understanding
of the reasons for trade patterns. Students should begin to appreciate that
issues often have various viewpoints in conflict with one another and therefore
compromises and conciliatory positions usually must be found.
Strand(s): Assessing Economic Change, Economic Institutions
Learning
Expectations
EI1.03 -
use national accounts data to measure the contributions made by the private,
public, non-profit, and international (i.e., expenditures on exports and
imports) sectors of the economy;
EC1.04 -
explain how an understanding of markets is in the interest of consumers,
producers, and other stakeholders.
Ontario
Catholic School Graduate Expectations
CGE 1d -
develops attitudes and values founded on Catholic social teaching and acts to
promote social responsibility, human solidarity, and the common good;
CGE 2b -
reads, understands, and uses written materials effectively;
CGE 2c -
presents information and ideas clearly and honestly and with sensitivity to
others;
CGE 4b -
demonstrates flexibility and adaptability.
·
Students
have read and understood the Case Study – Canadian Shoe Retailers.
(see Appendix 6.2.1)
·
Students
have read and understood the evaluation process for a formal classroom debate.
(see Appendix 6.2.2)
·
Students
have a general knowledge of the motivation behind each side in the Canadian
Shoe Retailers Case Study.
·
Students
are familiar with the rules and procedures for formal meetings and debates (the
role of chairperson, points of clarification, points of rebuttal, etc.).
Teachers
should prepare an overview of various stakeholders in the Canadian economy
including, but not limited to, corporations, small businesses, workers, unions,
government, and consumers. Teachers may want to have various media available to
students for current trade related articles (e.g., MacLean’s, The Globe and
Mail, the local newspaper, and the Statistics Canada website). Teachers
should have assessed their students to determine appropriate roles for each
student in the “round table discussion”. Teachers should organize their class
environment into a closed square shape with four distinct sides for the “round
table” trade simulation activity.
1. Teachers should direct a discussion of the
benefits to various stakeholders of trade (imports/exports), as well as
specific situations where various stakeholders may want to restrict trade
(i.e., unions protecting jobs, governments trying to protect a relatively new
or weak industry).
2. Students will create a “scrapbook” of current
media articles relating to foreign trade. If using the Internet, students
should be reminded of the ethical and moral issues regarding information found
in some sites. Students provide a brief summary of the contents of the article
including whether the particular trade-related issue outlined in the article is
of benefit to
3. An International Round Table Discussion – a
simulation activity
The following steps provide an overview of the suggested workings of
this activity:
a) Teachers
divide their class into four comparable teams of students and explain the Round
Table Activity. The teacher should mention that the simulation is for a
pre-Free Trade
b) Each team assumes the role of one of the
following:
·
Shoe
Making Employees’
·
Canadian
Consumers’ and Retailers’ Association
·
Canadian
Shoe Manufacturers’ Association
·
·
One
student should be assigned as the chairperson for the discussion
·
Several
students should be assigned as scorers to record and calculate the points
earned by each side during the debate (a scoring system could be implemented
whereby each side scores points for strength of opening and closing argument,
new ideas presented, most number of speakers during the debate, as well as
losing points for speaking out of turn, or failing to address the chairperson.
In this way, a final score can be awarded to each side in order for a winning
and losing side to be objectively determined.)
c) Students assume the role of the side in this
discussion to which they have been assigned.
d) Students
meet with their own team to formulate their positions and arguments for the
discussions, including opening and later closing arguments.
e) The
chairperson and scorers operate a round table discussion (debate) on whether
the Canadian government should drop import quotas on all footwear except
women’s casual footwear.
(see Appendix 6.2.01).
f) At
the conclusion of the discussion, including closing arguments from each of the
four sides, the scorers and the chairperson will provide a detailed scoring analysis
of which side scored what point totals
and therefore who actually “won” the debate with the most effective arguments
and presentations.
g) The
teacher should review the position of each of the four sides on this issue for
further reinforcement.
Rubric -
see Appendix 6.2.2
Teacher
evaluation and observation
Peer
evaluation of their team mates performance during the round table discussion
Self-evaluation
- each student to evaluate his or her own preparation and performance during
the round table discussion
Consult with the Special Education Department
to assist with recommendations for exceptional students who require help.
Put students of mixed social skills and
abilities in groups in order to balance each “round table” team.
CBC
News-in-Review
Website:
http://www.statcan.ca
Import
quotas on footwear, which have been in effect for many years, are now scheduled
to expire in one month. The Canadian Import Agency has recommended that the
government should drop import quotas on all footwear except women’s and girl’s
casual footwear, and these should be phased out over the next three years.
The
Consumers’ Association of Canada and the Canadian Shoe Retailers’ Association
have both argued that the quotas should be removed, pointing out that even
without quotas, footwear imports are subject to a tariff of approximately
twenty percent – the highest Canadian tariff. These associations argue that
shoe import quotas are costing Canadian consumers $100 million annually, and
that perhaps these same quotas have saved only 350 to 700 jobs. This equates to
an annual cost to consumers of $120,000 to $240,000 in import tariffs for every
job protected.
The
Shoe Manufacturers’ Association of Canada claims that the domestic
manufacturers share of shoes sold in Canada has declined over the past four
years from 50% to 30%. It has asked the Import Agency to extend the quotas for
a minimum of five more years and to reserve 50% of the market for Canadian-made
shoes. The Manufacturers’ Association reminded the government of the nearly $37
million dollars its members paid last year in corporate income taxes, which
might be lost with the elimination of the quotas.
The
shoe manufacturing industry employs about 15,000 people in Ontario and Quebec.
Over the past several years, the federal government has invested quite heavily
in financial support for the industry. Political support for the federal
government in Ontario and Quebec has become much weaker lately. The labour
union has clearly stated its opposition to any move which would threaten
Canadian jobs. A recent public opinion poll also suggests that people are
generally concerned about more layoffs, since the economy appears headed for a
recession.
Finally,
the European Economic Community has warned that if the Canadian footwear quotas
are extended, it will retaliate by imposing quotas against Canadian lumber,
steel, and oil whose total value is nearly $125 million per year.
Conduct
a four-sided “round table” discussion (debate) presenting the elimination or
maintenance of the tariff on shoes from the viewpoint of each of the four
vested interests as outlined.
Individual
Debate Assessment Rubric
|
Categories/
Criteria |
Level 1 |
Level 2 |
Level 3 |
Level 4 |
|
Knowledge/ Understanding of the facts to support the argument |
- supports argument using facts with limited relevancy |
- supports argument using facts with some relevancy |
- supports argument using facts with considerable relevancy |
- supports argument using facts with a high degree of relevancy |
|
Critical Thinking Quality of rebuttal |
- rebuttal displays limited effectiveness in counter arguments |
- rebuttal is somewhat effective in use of counter arguments |
- rebuttal is considerably effective in use of counter arguments |
- rebuttal is highly effective in use of counter arguments |
|
Communication (oral) |
- communicates orally with limited effectiveness |
- communicates orally with some effectiveness |
- communicates orally with considerable effectiveness |
- communicates orally with a high degree of effectiveness |
|
Application use of understanding of markets gained from unit |
- understanding of markets gained from unit is transferred to the debate with limited effectiveness |
- understanding of markets gained from unit is transferred to the debate with some effectiveness |
- understanding of markets gained from unit is transferred to the debate with considerable effectiveness |
- understanding of markets gained from unit is transferred to the debate in a highly effective manner |
Note: A student whose achievement is
below level 1 (50%) has not met the expectations for this assignment or
activity.
Student’s
Name__________________ Overall
level _____ Mark
______
Strengths:
Areas of
Improvement:
Next
Steps:
Time: 2.5 hours
After the
first several activities of the unit, students should understand the reasons
why nations choose to engage in trade with one another. Once this has been
achieved, students should consider Canada’s specific trade patterns by
examining empirical data outlining Canada’s recent international trade position.
From this examination of the data, students should be able to determine the
types of expenditures being made in the economy by various sectors. A better
understanding of the strengths and weaknesses of the Canadian economy should
result from a study of national trade data. Students should come to recognize
Canada’s historical role as an exporter of natural resources (hewers of wood
and drawers of water) and an importer of manufacturing and technological
products, and recent changes in these patterns. This examination of data may
help students to respect Canada’s historical heritage as well as determine a
fairer, more compassionate, distribution of resources.
Strand(s): Self-Interest and Interdependence
Learning
Expectations
SI1.03 -
demonstrate an ability to interpret trade data (e.g., current and capital
accounts) and to describe the nature of Canada’s foreign trade;
SI2.03 -
identify the value and significance of trade to Canada’s economy.
Catholic
Graduate Expectations
CGE 2e -
uses and integrates the Catholic faith tradition, in the critical analysis of
the arts, media, technology, and information systems to enhance the quality of
life;
CGE 3f -
examines, evaluates, and applies knowledge of interdependent systems (physical,
political, ethical, socio-economic, and ecological) for the development of a
just and compassionate society;
CGE 7g -
respect and understand the history, cultural heritage, and pluralism of today’s
contemporary society.
·
ability
to distinguish and understand the difference between an import and an export
·
an
understanding of tariffs
·
a
working knowledge of the makeup of a nation’s trade account including current
account, capital account, and balance of payments
·
ability
to read charts and tables
·
ability
to locate specific sites on the Internet (if the Stats Can website is to be
used to obtain the
trade data)
·
information
regarding Trade Agreements such as NAFTA covered in Canadian and World Studies
Grades 9 and 10
Teachers
should obtain a recent copy of Canada’s national trade data from Statistics
Canada. The most recent data would be most effective. (At least twenty years of
data would be required to analyse trends.) This information may be available in
a resource textbook. If the class has access to an Internet-capable computer
lab, students could locate the Statistics Canada website individually and
obtain their own relevant trade information from this site.
1. Students
access Canada’s trade data from a resource textbook, the Statistics Canada
website, or alternatively, trade statistics provided by the teacher.
2. Students answer the following questions
related to the trade data:
i) Calculate
Canada’s balance of trade with Japan, the U.S.A., the U.K., and China for the
earliest possible year available, and then again for the latest year data is
available
ii) Identify various trends from the net trade
positions calculated in (i)
iii) Identify
which Canadian trade category (i.e., agricultural products, energy products,
forest products, metals and minerals, industrial goods, machines and equipment,
motor vehicles and parts, and consumer goods) satisfies each of the following:
·
import
with the greatest increase (over the range of the time frame studied)
·
import
with the greatest decline
·
export
with the greatest increase
·
export
with the greatest decline
iv) identify
possible reasons for each of these trends
v) which
account would you expect to change (increase/decrease) by the largest amount
over the next twenty years? Explain.
Once obtained, students should examine the tables and charts to ensure
their ability to read and interpret them. Perhaps more important is the ability
of students to identify reasons for the trends, and to project future trends.
vi) Using
trade data, construct line graphs for some of the information such as: total
exports, total imports, natural resources exported, and total exports to the U.
S.
vii) Using
your graphs, predict what the next 12 months will be like with regard to our
foreign trade. Include this on your graph as a dotted line. Explain in detail
why this may or may not always be predictable.
·
Formative
testing of the ability of students to interpret
Statistics Canada data
·
Formative
evaluation of responses to questions outlined above (Strategy 2)
·
Summative
Quiz in which students demonstrate their understanding of past trends in
·
Teacher
observation, both formal and informal
Consult
with the Special Education Department to assist students who may require help
in graphing the statistics. Students who are strong in math could be paired
with others who require assistance
Statistics
Time: 3.75 hours
Students examine the trade
relationships between
This
examination of international trade helps students to evaluate whether
Learning
Expectations
SIV.02 -
describe the extent, nature, and impact of
DM3.01 -
identify different types of economic information (e.g., statistics, forecasts,
analysis, opinion) from a variety of sources (e.g., government, academic
institutions, businesses, interest groups, the media, the Internet);
DM3.02 -
analyse different forms of economic information (e.g., graphs, charts, tables)
to determine their relevance, to accurately interpret their main ideas and
significant details, and to distinguish between fact and opinion;
SI2.03 -
identify the value and significance of trade to
SI2.04 -
describe how events in the
EC5.03 -
produce an analysis based on the various measures of economic well-being that
compares the performance of the Canadian economy with that of other developed
countries.
CGE 3a -
recognizes there is more grace in our world than sin and that hope is essential
in facing all challenges;
CGE 4a -
demonstrates a confident and positive sense of self and respect for the dignity
and welfare of others;
CGE 5a -
works effectively as an interdependent team member;
CGE 5g -
achieves excellence, originality, and integrity in one’s own work and supports
these qualities in the work of others;
CGE 7b -
accepts accountability for one’s own actions;
CGE 7e -
witnesses Catholic social teaching by promoting equality, democracy, and
solidarity for a just, peaceful, and compassionate society;
CGE 7f -
respects and affirms the diversity and interdependence of the world’s peoples
and cultures;
CGE 7h -
exercises the rights and responsibilities of Canadian citizenship.
Students
have an understanding of the FTA from the Grade 10 Canadian History course as
well as the Grade 9 Geography course.
·
Teacher
should be aware of the benefits and limitations of the Free Trade Agreement
with the
·
Obtain
copies of pamphlets regarding what people can bring across the border from
Canada Customs.
·
Conduct
a search on the Internet regarding the latest information on dollar values of products, which are imported
and exported across the Canadian/U.S. border.
·
Book
the school TV/VCR and order the video listed in Resources.
1. a) The
teacher can take a few minutes to have students review/recall their responses
from
Appendix 6.1.1 in Activity 1. Students will be
asked to note the dollar value of the products/services considered. Which
products/services came from the
b) Students
can then be asked about the benefits of trading with the
2. A class debate is possible at this stage with
those in support of free trade against those who are opposed. If preferred, the
debate may be implemented later, as part of a review.
3. Any benefits/limitations of trade with the
4. A review of current events could cover the
effect of a recession in the
5. Review
6. Case Study – Ethics (See Appendix 6.4.1) This
case allows instructors to bring in the concept of “sweatshops” and Catholic
Social Teaching. Information can be obtained from Encyclicals such as Rerum
Novarum: On The Condition of Workers for further clarification. See resources
section for further material available.
7. Show the video “International Trade” –
Episode 2, 3, and 4 as a review of the unit.
1. Administer a short quiz on the knowledge
obtained in this activity.
2. With regard to strategy 6, the teacher can
direct the learner(s) to one of these activities:
i) case study questions (formulated by the teacher), ii) an oral presentation
in the form of an editorial (identify the stakeholder group being represented),
and iii) class discussion
Consult
with the Special Education Department to assist students who may require help
in graphing the statistics. Some students may require an extended timeframe in
order complete this assignment (or an alternatively a reduced content
requirement)
Video
International
Trade. D.C. Heath,
1994. 32 min.
Encyclicals
Laborem
Exerens: On Human Work
Rerum
Novarum: On The Condition of Workers
Centesimus
Annus: 100th Anniversary of Rerum Novarum
Appendix
6.4.1 – Case Study – Ethics
Have
the students read the following case study:
“Have
Comparative Advantage, We’ll Travel”
Kobe
Corporation, based in
(Major Paper, Seminar)
Time: 2.5 hours
In this
culminating activity, students use the knowledge and skills, which have been
developed to prepare a paper related to International Trade. The elements of
the paper consist of the main sections covered in the unit, not necessarily the
entire course. Teachers have some flexibility here as to what to offer the
students. Any one of the following may be suitable a) Position Paper b) Term
Paper (non-argumentative, more general in terms of research on a particular
topic) or c) Seminar. This examination of international trade should help
students evaluate whether
Learning
Expectations
SIV.02 -
describe the extent, nature, and impact of
SI2.01 -
explain the benefits to trading partners of international specialization and
trade that arise from comparative advantage;
SI2.02 -
demonstrate an ability to interpret trade data (e.g., current and capital
accounts) and to describe the nature of
SI2.03 -
identify the value and significance of trade to
ECV.05 -
evaluate current economic data to determine the economic well-being of Canadian
stakeholders;
EC5.03 -
produce an analysis based on the various measures of economic well-being that
compares the performance of the Canadian economy with that of other developed
countries.
CGE 2c -
presents information and ideas clearly and honestly and with sensitivity to
others;
CGE 2d -
writes and speaks fluently one or both of
CGE 3e -
adopts a holistic approach to life by integrating learning from various subject
areas and experience.
·
Student
should be familiar with the high school’s format for writing papers. The format
is covered in many courses such as English and is sometimes available in the
school's Student Agenda, if provided.
·
Researching
on the Internet.
·
Presentation
skills.
·
Familiarity
with the history of trade agreements from Social Studies courses covered in
Grades 9 and 10.
·
The
teacher may amend the appendices to include local events, which are relevant.
·
Choose
one of the papers listed in the Description and provide students with an
evaluation format before they begin the paper.
1. After each of the previous units, the
students have been assessed using a pencil-and-paper test. This culminating
activity allows students to express their Knowledge, Thinking, and Application
in a different format.
2. If the teacher prefers a Position Paper, it
can be in the following form:
See Appendix 6.6.1 for the outline for a position paper, and Appendix 6.6.2 for
the rubric for the assessment of a position paper.
The
evaluation of this task can be done using a research paper rubric and should be
counted towards the 70% term evaluation.
Students with serious writing
difficulties could present their research as an alternative to writing a major
paper. Some students may require an extended timeframe in order to complete
this assignment (or alternatively, a reduced content requirement). Suggested
topics for enriched learners could include: Historical Development of Canadian
Trade Policy, Impact of Globalization,
Websites
Statistics
World
Trade Organization – www.wto.org
World
Bank – www.worldbank.com
Canadian
Foundation For Economic Education – www.cfee.org
Appendix
6.6.1 – Outline for a Position Paper
Appendix
6.6.2 – Economic Position Paper Rubric
Background
The
Canadian economy has experienced significant economic expansion in recent
decades. This growth has been partly dependent on our international trade, more
specifically, on trade with the
Position
Paper
Write
a paper, which examines the following statement:
“
The position you take must specifically address
each of the following:
i) our
comparative/absolute advantage with the
ii) impact
on stakeholders
iii) statistics,
which include our trade with
iv) possible expanded trade agreements that may
take place in the future (Central,
v) potential benefits and threats to your
decision
Your paper must:
·
be
typed using a word-processing program of your choice and single spaced/follow
proper format and include a title page
|
Categories/ |
Level 1 |
Level 2 |
Level 3 |
Level 4 |
|
Knowledge/Understanding ·
demonstrates understanding of economic
interdependence |
-demonstrates limited understanding (e.g., the extent to
which |
-demonstrates some understanding (e.g., the extent to
which |
-demonstrates considerable understanding (e.g., the
extent to which |
-demonstrates a high degree of understanding (e.g., the
extent to which |
|
Thinking/Inquiry ·
interprets data effectively (e.g., nature of · develops a thesis with clear and effective supportive arguments that include - value and significance of trade on the economy - benefits and disadvantages of stated decision |
- interprets data with limited effectiveness - develops a thesis with supportive arguments that are limited in clarity and effectiveness |
- interprets data with some effectiveness - develops a thesis with supportive arguments that have some clarity and effectiveness |
- interprets data with considerable effectiveness - develops a thesis with supportive arguments that have considerable clarity and effectiveness |
- interprets data with a high degree of effectiveness - develops a thesis with supportive arguments that have a high degree of clarity and effectiveness |
|
Communication ·
clear explanation of impact of trade on
stakeholders and |
- limited clarity in explanation of impact of trade |
- some clarity in explanation of impact of trade |
- considerable clarity in explanation of impact of trade |
- a high degree of clarity in explanation of impact of trade |
|
Application · critically analyzes and interprets data to support suggested trade agreement expansions |
- limited critical analysis and interpretation of data |
- some critical analysis and interpretation of data |
- considerable critical analysis and interpretation of data |
- a high degree of critical analysis and interpretation of data |
Note: A student whose achievement is below
level 1 (50%) has not met the expectations for the assignment or activity.
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