Teacher's Guide - The Curriculum Project

Inflation (cont’d)Pairwork1. Put students into pairs and ask them to decide the effects of inflation ineach scenario. Emphasise that they can cross more than one box for eachscenario if they wish.Give them 15 - 20 minutes and then elicit answers from each pair and checkagreement with the rest of the class. Ask them to give reasons for theirdecisions.Here are the answers:High Inflation often means that...1. ...people do not want to save their money.2. ...foreign companies can sell goods/services more easily.3. ...people don’t buy so many things.4. ...companies find it difficult to sell goods/services locally.5. ...more people lose their jobs.6. ...companies find it difficult to sell goods/services internationally.7. ...people do not have so much money to invest in business.8. ...people can’t buy so much with their income (wages/pension, etc).9. ...people borrow more money than usual.10. ...everybody gets richer.11. ...people store value in commodities (e.g. gold), not in money.Scenario1 2 3 4 5X XXXX X XX XXXXXX X XThe Curriculum Project ECONOMICS: an introduction - Teacher’s Guide23