Lesson Details

Unit 1: Lesson 5 - Rules Influence Economic Behavior

The lesson begins with a demonstration of how rules and incentives influence students' behavior in the classroom. Then students apply the same analysis to behavior in the larger economy. (WARNING: Given the unusual grading procedure specified in Procedure 5, this lesson may be hazardous to teacher's health.)


  • Choice
  • Incentive
  • Interdependence
  • Standard #2: Decision Making
  • Standard #4: Incentives

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