Unit 2: Lesson 13 - How Markets Allocate Resources
Students read I, Pencil, by Leonard Read, to gain an understanding of Adam Smith's concept of the invisible hand of the marketplace. Students see that a system of market prices brings about cooperation without coercion. Then students use supply and demand analysis to explain how a change in one market tends to affect related markets.
- Invisible Hand
- Secondary Effects
- Standard #7: Markets and Prices
- Standard #8: Role of Prices