Market Engine Slides Market Engine
Wealth Blueprint: Module 1
Economics
Government
The Scarcity Problem
Economics is the study of how people make choices in a world of Scarcity.
Resources are limited (Land, Labor, Capital).
Human wants are unlimited.
"Every choice has an Opportunity Cost: the next best thing you gave up."
4 Economic Systems
Traditional: Decisions based on custom and habit.
Command: Government makes all economic decisions.
Market: Individuals and Firms make all decisions.
Mixed: Market with some government regulation (The US Model).
Supply, Demand & Price
The Law of Demand
As Price ↑ , Quantity Demanded ↓
The Law of Supply
As Price ↑ , Quantity Supplied ↑
EQUILIBRIUM
Where Supply meets Demand.
Determines the Market Price and Quantity produced.
SURPLUS Price is too high
SHORTAGE Price is too low
Market Structures
Pure Competition
Many sellers, identical products. No control over price.
Ex: Wheat, Corn
Monopolistic Comp.
Many sellers, similar but different products. Branding is key.
Ex: Clothing
Oligopoly
A few large firms dominate. High interdependence.
Ex: Cell Carriers
Monopoly
One seller, total price control. High barriers to entry.
Ex: Duke Energy
Macro Indicators
GDP
Gross Domestic Product
Total value of all final goods and services produced in a year.
MEASURESÂ Â GROWTH
CPI
Consumer Price Index
Tracks price changes over time for a specific basket of goods.
MEASURESÂ Â INFLATION
UE
Unemployment Rate
% of labor force jobless and actively seeking a new position.
MEASURESÂ Â HEALTH
The Business Cycle
EXPANSION PEAK RECESSION TROUGH
Expansion GDP ↑, UE ↓
Peak Max Prosperity
Recession GDP ↓, UE ↑
Trough Bottoming Out
Stabilization Policies
Fiscal  Policy
Controlled by: Congress & POTUS
Taxes EXP: ↓ | CON: ↑
Spending EXP: ↑ | CON: ↓
Monetary  Policy
Controlled by: The Federal Reserve
Rates TO GROW: ↓ | TO COOL: ↑
Money Supply TO GROW: ↑ | TO COOL: ↓
Government Role
Property Rights: Protecting ownership to encourage production.Contracts: Enforcing legal deals between parties.Regulation: Oversight of market fairness and safety.
Funding the Engine
Public goods and services are funded via Taxes and Fees.
Income Tax Earnings tax
Sales Tax Purchase tax
Property Tax Land & Homes
Excise Tax Specific goods
Global Interdependence
No nation is an island. We trade to acquire goods we cannot produce efficiently.
Comparative  Advantage
The ability to produce a good at a lower opportunity cost than another trading partner.
NC Global Impact
North Carolina is a major contributor to the US and World economies. Key exports:
Biotech & Pharma
Aerospace Parts
Ind. Machinery
Agriculture
Market Master Worksheet Market Master Worksheet
Economics
Student Name:
Date:
1. Scarcity & Opportunity Cost
Scenario: The state of North Carolina has a $500 million budget surplus. They must choose between building a new highway or providing scholarships for technical college students. They choose the highway.
Identify the Opportunity Cost of this decision:
Economy Type Match:
Market Economy
Command Economy
A. Government officials determine what is produced and set all prices.
B. Supply and Demand interactions determine price and production.
2. Supply and Demand Mechanics
Logic Completion:
If a popular celebrity endorses a sneaker brand, the Demand for those sneakers ____________________ and the Price ____________________.
A new technology allows for double the crop harvest. The Supply of corn ____________________ and the Market Price ____________________.
If the government sets a "Price Ceiling" below equilibrium, a ____________________ (shortage/surplus) will occur.
Equilibrium Math Challenge
Demand: Qd = 100 - 2P
Supply: Qs = 20 + 2P
Calculate Equilibrium Price (P):
Hint: Set Qd = Qs and solve for P.
3. Stabilization Policy Scenarios
Scenario A: Hyper-Inflation
Prices are rising at 8% annually. The economy is "overheating."
Fiscal Policy Action:
Monetary Policy Action:
Scenario B: Deep Recession
Unemployment has reached 10%. GDP has shrunk for two quarters.
Fiscal Policy Action:
Monetary Policy Action:
Market Structure Identification
Industry Example Structure Type Price Control (H/L) Duke Energy (Electric)
|
| Pepsi vs. Coca-Cola |
|
|
| Agricultural Wheat Farms |
|
|
Economic Foundation Challenge
Explain how Property Rights and Contract Enforcement by the government actually encourage a business owner to take risks and invest in the economy.
Wealth Builder Slides Prosperity Path
Wealth Blueprint: Module 2
Income
Wealth Building
Human Capital & Income
Your Human Capital is your skills, education, and experience.
The Rule: Higher Education/Skill usually equals Higher Income.
The Catch: Post-secondary education has a COST (Debt vs. ROI).
Post-HS Options
4-Year University: Highest cost, highest potential ROI
Community College: Lower cost, targeted skills
Trade School: Fast track to high-demand jobs
Military: Training + Educational benefits
Gross vs. Net Pay
Gross Income
The amount you earned before taxes.
Net (Disposable) Income
"Take-home pay." What you actually keep.
The "Deductions"
Federal Income Tax Variable
State Income Tax NC: 4.5%*
FICA 7.65%
FICA = Social Security + Medicare
Net Pay = Gross - (Fed + State + FICA + Insurance)
Building Wealth
The Stock Market
Buying "shares" of ownership in a company.
Risk Level
Bonds
Lending money to a company or government for interest.
Risk Level
Mutual Funds / ETFs
A "basket" of many different stocks or bonds. Diversity!
Risk Level
The Magic of Compounding
Compound Interest is interest on your interest.
"The most powerful force in the universe is compound interest."
— (Often attributed to) Albert Einstein
$10,000
Invested at 19 vs. 30
Age 19:
$400k+
Age 30:
$150k
*Assumes 7% avg market return at age 65
Beyond Money
Philanthropy & Nonprofits
Financial planning isn't just about your bank account. It's about your impact.
Volunteering (Human Capital donation)
Donations (Financial Capital)
Why it matters:
Businesses and nonprofits provide services that the government or markets might miss, improving the Quality of Life for everyone.
Community Development: Creating stable environments where economies can thrive.
Wealth Builder Worksheet Wealth Builder Lab
Prosperity
Strategist:
Date:
1. Human Capital & ROI
Case Study: Trade vs. Degree
Electrician Certificate $15,000 Cost
4-Year Degree (BS) $80,000 Cost
Two ways "Option B" can minimize costs to improve ROI:
Explain why a high-income career (like a surgeon) might have a lower net worth than a mid-income career in the first 10 years of their professional life.
2. Paycheck Calculation (NC Focus)
Gross Monthly Pay
$4,000.00
NC STATE TAX (4.5%)
-$180.00
FICA (7.65%)
-$306.00
FEDERAL TAX (12%)
-$480.00
HEALTH PREMIUM
-$250.00
Net Monthly Income Calculation:
$
Calculation Scratchpad:
Tax Foundation Analysis
What specific public programs does the FICA deduction fund for American citizens?
3. Wealth Building Strategy
Strategy Primary Return Risk (L / M / H) High-Yield Savings Interest Individual Stock Shares Capital Gains
|
| Corporate Bonds | Interest |
|
| Mutual Funds / ETFs | Variable Dividends |
|
Roth IRA Mastery
Explain the tax advantage of a Roth IRA and the mathematical power of starting at age 18.
Community Impact
Identify a NC nonprofit. How does their work improve the Quality of Life in your specific region?
Savvy Spending Slides Savvy Spending
Wealth Blueprint: Module 3
Credit
Consumerism
Accessing Capital
Debit Cards
• Money comes directly from your bank.
• No interest (it's your money).
• No impact on credit score.
Credit Cards
• You are borrowing money.
• Must pay back with Interest if not paid in full.
• Huge impact on Credit Score.
The Golden Rule
Only use a credit card for what you can afford to pay off every single month.
Interest: The price of borrowing money. Usually expressed as APR (Annual Percentage Rate).
Your Creditworthiness
What makes a FICO Score?
Payment History 35%
Amounts Owed 30%
Others (Length, Mix, New) 35%
Range: 300 (Poor) to 850 (Exceptional)
Why does this score matter to a senior?
Determines if you can rent an apartment or get a mortgage.
Determines the interest rate on your car loan.
Some employers check credit for financial roles.
Living Options
Renting / Leasing
Lower upfront cost.
Flexibility to move.
No equity (it's not yours).
Rent can increase yearly.
Owning (Mortgage)
Building equity/wealth.
Tax benefits.
Responsible for all repairs.
Significant upfront costs.
Critical Consumerism
Business practices and social media impact every decision you make.
Consumer Protection
Laws like the Truth in Lending Act ensure you know the "real cost" of borrowing before you sign.
Alert
Fraud Defense
Phishing: Fake emails to steal login/bank data.
Skimming: Devices on ATMs that steal card info.
Identity Theft: Using your personal info to open new lines of credit.
Blueprint Complete
Mastery of your money means mastery of your future. Complete the Smart Spender Lab to finalize your unit.
GO FORTH & CONQUER
Smart Spender Worksheet Smart Spender Lab
Mastery
Student:
Date:
1. Credit Impact Simulation
Action Impact Check:
Paying your bill 5 days late.
INC / DEC?
Keeping balance below 30%.
INC / DEC?
Opening 4 new cards in 30 days.
INC / DEC?
Co-signing for a missed loan.
INC / DEC?
The Interest Premium
Scenario: Buying a $20,000 vehicle.4% .12% .
Why does the bank charge the lower score significantly more?
2. The 50/30/20 Budgeting Strategy
50% Needs
Rent & Essential Bills
30% Wants
Fun & Lifestyle
20% Savings
Future Building
Monthly Net Pay Goal: $3,200.00
Needs Total ($)
Wants Total ($)
Savings Total ($)
3. Fraud Defense & Mastery
Scam Analysis Lab
"Click [bit.ly/scam] to verify your Social Security Number now."
Fraud Method:
"Pay a $15 'processing fee' via wire transfer to claim your prize."
Fraud Method:
Consumer Protection
Identify a consumer law and explain how it empowers your financial decisions.
Risk Management
How does choosing a higher deductible impact your auto insurance costs?
Mastery Completion Check
"What is the most critical financial change you will make after this 2-hour unit?"
Mastery Key Teacher Guide Wealth Blueprint
Mastery Key & Facilitation Guide
Official Key
Unit  Pacing  &  Delivery
Module 1: Markets
40min
ECONOMICSÂ Â FOCUS
Module 2: Wealth
40min
INCOMEÂ Â &Â Â ROIÂ Â FOCUS
Module 3: Savvy
40min
CREDITÂ Â &Â Â RIGHTSÂ Â FOCUS
Fast-Track Facilitator Checklist
Ensure every student has a calculator for Module 2.
Verify matching logic in Module 1 before they proceed.
Stress the 30% credit utilization rule in Module 3.
Review the Roth IRA scenario as a class if possible.
Mastery Solution Set
FORÂ Â SELF-CORRECTIONÂ Â ORÂ Â PEERÂ Â REVIEW
1. Market Mechanics Lab Key
Scarcity: The Technical College Scholarships (what was given up).
Economy Types: Market = B | Command = A
S&D Logic: 1: Inc, Inc | 2: Inc, Dec | 3: Shortage
Equilibrium Math: 100 - 2P = 20 + 2P -> 80 = 4P -> P = 20
Policy Logic: Inflation = Contractionary (Tax ↑) | Recession = Expansionary (Tax ↓)
2. Wealth Builder Lab Key
Minimizing Cost: FAFSA, Work-Study, Comm. College Start.
Net Pay: 4000 - 180 - 306 - 480 - 250 = $2,784.00
FICA: Funds Social Security and Medicare.
Roth IRA: Advantage is Tax-Free growth. Benefit is Compound Interest over time.
3. Smart Spender Lab Key
Credit Score: Late (Dec), Utilization (Inc), New (Dec), Co-sign (Dec).
50/30/20 Math: Needs: $1,600 | Wants: $960 | Savings: $640
Scams: Locked Account = Phishing | Prize Fee = Wire/Advance Scam.
Insurance: High deductible reduces monthly premium.
Unit Strategy Notes
Remind students that Mixed Economy means a blend of Market freedom and Command regulation.
Mastering the 50/30/20 budget early is the strongest predictor of long-term wealth building success.
Critical Checkpoint
"Encourage students to view their credit score as their 'Financial GPA'—it determines the cost of their major life milestones."
Blueprint Mastery Test Blueprint Mastery Test
Final Exam
Name:
Date:
1. Market Engine
1. You choose to buy a car instead of investing that money. The wealth you "gave up" by not investing is called:
A Scarcity Factor
B Opportunity Cost
C Equilibrium Gap
D Comparative Debt
2. To combat high inflation, the Federal Reserve will most likely:
A Lower interest rates & increase money supply
B Raise interest rates & decrease money supply
C Lower interest rates & decrease money supply
D Do nothing and allow the market to self-correct
3. Which of the following is a major export that helps the North Carolina economy thrive globally?
A Tropical Citrus Fruits
B Oil & Natural Gas
C Pharmaceuticals & Biotech
D Entertainment Industry (Movies)
2. Prosperity Path
4. Calculation: A worker earns $5,000.00 Gross Monthly. Calculate Net Pay after these deductions:
Federal Tax (10%): -$500
NC State Tax (4.5%): -$225
FICA (7.65%): -$382.50
Health Insurance: -$300
Work Space (Calculations):
Final Net Monthly Pay:
$
5. What is the primary tax advantage of a Roth IRA retirement account?
A Contributions are tax-deductible immediately.
B Future withdrawals in retirement are tax-free.
C It guarantees a 10% return annually.
D Employers are legally required to match it.
3. Savvy Spending
6. Percentage of net income for "Wants" (Fun/Lifestyle) per 50/30/20 rule?
10% A
20% B
30% C
50% D
7. Which living option allows for building "Equity" (wealth through ownership)?
A Renting an Apartment
B Owning with a Mortgage
C Leasing a Vehicle
D Short-term Vacation Rental
8. Which scam sends deceptive emails to steal login info or SSN?
A Skimming
B Phishing
C Dumpster Diving
D Retail Arbitrage
MASTERY
4. Decision Scenario
A senior is deciding between a career requiring an expensive degree (high debt, high income) and a trade career (low debt, immediate income). Identify two factors for a Cost-Benefit Analysis and explain how a Credit Score will impact their financial success in either path.
Blueprint Mastery Answer Key Blueprint Mastery
Official Solutions & Scoring Standards
TEACHER KEY
1. Objective Solution Set
1. Opportunity Cost B
2. Fed Action (Inflation) B
3. NC Global Exports C
4. Net Pay Calculation 5000 - 1407.50
$3,592.50
5. Roth IRA Tax Benefit B
6. 50/30/20 Wants C
7. Home Equity/Mortgage B
8. Phishing Definition B
2. Final Scenario Rubric
Requirement 1: Cost-Benefit Factors (2 pts)
Student must identify at least two valid factors: Tuition/Debt load, ROI salary potential, or industry demand.
Requirement 2: Credit Score Impact (2 pts)
Student must link credit score to interest rates on loans (edu or biz). A high score lowers the total lifetime cost of their chosen path.
Mastery standard: Links borrowing efficiency to long-term wealth building.
Total Exam Score: 12 Points
Mastery 12/12
Proficient 10+/12
