Economics Investigating Business and Labor Trends Portfolio Unit 3 Business and labor are interdependent. Laborers rely on the job opportunities provided by the growth of businesses, as well as the consumer goods and services that such companies provide. Business growth depends on a diverse, skilled labor force. Since business and labor are interdependent, a change in one will impact the other. Laborers need to be aware of changing business trends to prepare for labor force changes, and businesses must study ways to attract and retain skilled workers. In this portfolio activity, you will examine current trends that impact business and labor practices. The portfolio is broken into four parts. Each part corresponds to a section of Unit 3 as well as a current events article. Part 1: Complete the Wall Street Journal Classroom Edition: Chapter 8 Article “Business Organizations.” Answer questions 1–3. (2 points per question) Part 2: Complete the Wall Street Journal Classroom Edition: Chapter 9 Article “Labor.” Answer questions 1–3. (2 points per question) Part 3: Complete Debating Current Issues with the Wall Street Journal Classroom Edition: Unit 3 Debate: Minimum Wage. Answer Questions for Discussion 1–3 (1 points per question) and the Debate Activity Worksheet (7 points). Part 4: Write a persuasive answer to the question: Should the minimum wage be raised? Support your answers with details from the Wall Street Journal Articles, and Chapters 9 and 10 of Economics: Principles in Action, or any other activity from Unit 3. You should have at least three supporting details for your argument. Use the Student Self Assessment Rubric to review your answer. (20 points) Student Self-Assessment Persuasive Argument Rubric Use the following rubric as a scoring guide for your persuasive argument. Score 4 All three supporting details are relevant to the position, connecting directly to the argument. Score 3 Two of the three supporting details are relevant to the position, connecting directly to the argument Score 2 Only one of the three supporting details is relevant to the position, connecting directly to the argument. Score 1 Supporting details are not relevant to the position. Persuasiveness All three supporting details incorporate persuasive language and effective word choice to strengthen the argument. Two of the three supporting details incorporate persuasive language and effective word choice to strengthen the argument. Only one of the three supporting details incorporates persuasive language and effective word choice to strengthen the argument. Supporting details incorporate neither persuasive language nor effective word choice to strengthen the argument. Accuracy All three supporting details are accurately written and reflect clear understanding of unit terms and concepts. Argument includes elaboration and a thoughtful analysis of each detail to support the writer's position. Two of the three supporting details are accurately written and reflect clear understanding of unit terms and concepts. Only one of the three supporting details is accurately written and reflects clear understanding of unit terms and concepts. Supporting details are not accurately written and do not reflect clear understanding of unit terms and concepts. Argument includes elaboration on two or more details; analysis is good, but could be strengthened by elaborating on one or more supporting details. Argument includes elaborations on one or more details; analysis is limited. Argument states details without providing any elaboration. Argument is clearly organized, has few if any mechanical errors, and uses transitions to unify response; response brings together all of the supporting details into one, cohesive argument. Response could be strengthened in one of the following areas: organization, language mechanics, and use of transitions. Response is weak in two of the following areas: organization, language mechanics, and use of transitions. Response is weak in all of the following areas: organization, language mechanics, and use of transitions. Relevance Depth of Response Clarity © 2010 Connections Education LLC. All rights reserved. NAME ____________________________________ CLASS - - - - - - - - - - - - - DATE .,....-------------- Debating Current Issues with THE WALL STREET JOURNAL. CLASSROOM EDITION Unit 2 Debate: The Minimum Wage This article from the November 20, 1996, Wall Street Journal describes the impact of an increase in the minimum wage. Read "New Minimum Wage Makes Few Waves," by Wall Street Journal Staff Reporter Christina Duff, to learn more about how changes in the minimum wage affect workers, businesses, consumers, and the U.S. economy. Before reading the article below, you may want to look up the following terms: assessment, doomsayers, frets, inflationary, mandate, scrutinizing, spiral, and venues. certainly, there's no sign of the widespread inflation WASHINGTON-Businesses have been doing the minimum-wage shuffle since the 50-cent raise kicked opponents feared would result. "So far, it's a nonin on October 1: cutting hours here, boosting prices event" in the overall economy, says economist Donald there. But it hasn't led to the widespread layoffs and Ratajczak of Georgia State University. The blow was softer than it might have been on bankruptcies some foretold. Before the wage gain became law for some 4 many employers because they already pay more than million workers, doomsayers warned of a dangerous the new $4.75-an-hour rate since the labor market is economic shift. "Somebody's going to get hurt. so tight. Hugh Schmidt, a McDonald's Corporation franchisee in Vail, Colorado, says he starts workers Somebody loses a job or somebody closes up shop," said Robert Dole, then the Senate majority leader. at $6.50 an hour and bumps them up to $7 right The raise "will set off an inflationary spiral that away because the slopes, hotels, and T-shirt shops all will tax every American family," argued Represenvie for the same people. "Supply and demand mattative Robert Walker (Republiters more than what the minican from Pennsylvania). The mum-wage mandate is," he increase "will lead to a loss f h h of jobs, hitting hardest at '"It's my ,avorite ypot esis: says. One reason emp loyers unskilled workers," warned Raising the minimum wage Bruce Josten of the U.S. Chamaren't cutting jobs is that ber of Commerce. they're instead slashing hours raises productivity,' says This hasn't happened. and spreading the same What has happened, at least Robert]. Gordon, an econoamount of work aro und to initially, is this: Some employfewer people. ers are now carefully scrutiniz- mist at Northwestern Dollar Tree Stores Incorpoing who they hire. Others are rated gave its middle managers selectively passing along the University." more information about busy wage increases to consumers, shopping times so they could through higher prices on one or schedule shifts more efficiently. As a result, Dollar Tree doesn't have to lay off peotwo items. And still others have scaled back the ple, but it could still lower its operating expenses to number of hours scheduled for their lowest-paid workers rather than laying them off, offsetting the 27.8 percent of sales in the third quarter from 28.8 wage increase with higher productivity. percent a year ago. The Labor Department reports that payrolls The company expects these savings will offset actually increased in October for general merchanany impact from the fatter paychecks, says H. Ray dise and department stores, restaurants, and pubsCompton, chief financial officer of the Norfolk, Virginia, variety-store chain. venues that most often pay the minimum wage. And 6 Unit 2 Debating Current Issues with The Wall Street Journal Classroom Edition NAME ____________________________________ CLASS - - - - - - - - - - - - - DATE .,....------------- Debating Current Issues with The Wall Street Journal Classroom Edition money in their pockets is actually helping business. Not that spreading the staff more thinly isn't "Our employees are our customers. And if employannoying. At Port of Italy, a restaurant in Springees have more buying power, they have more money field, Virginia, one recent afternoon, owner Gioto spend," he says. vanni Coratolo frets because his daytime dishwasher In Pembroke Pines, Florida, Claire's Stores hasn't shown up. With limited staff in the kitchen as a result of the wage increase, servers help wash Incorporated is also finding that paying lower-wage dishes, and Mr. Coratolo pitches in to mop the floor. workers more may actually be a business boon. The increase will cost th e fashion-accessory cha in But analysts have argued that becoming more productive-by learning to get of 1,550 stores as much as $400,000 a year, says Glenn more done per hour-is a good Canary, director of investor thing for the economy and "The pain many wage-boost workers in the long run. "It's my relations, "a trivial amount of money." favorite hypothesis: Raising the opponents warned about Balance this out with the minimum wage raises productivfact that the target customer is ity," says Robert J. Gordon, an may still strike in the future. economist at Northwestern Unia 16-year-old high schoo l junior who now pockets more versity, Evanston, Illinois. In the 'All of the economic~ acadeend, a more-productive workmoney from her part-time job, p lace creates more jobs and mic research ever done~ on helping boost Claire's sales in raises the standard of living, Mr. October at stores open at least raising the minimum wage Gordon argues. a year a healthy 7 percent above the year-earlier period. Edward R. Tinsley III, presi- says so., dent of K-Bob's steakhouses, "At worst," says Mr. prepared for the wage increase Canary, the wage increase is "a wash." by raising prices 3 percent to 8 Of course, the pain many wage-boost opponents percent, including his chicken fried steak to $5.79 from $5.49. And he began giving potential hires warned about may still strike in the future. "All of the assessment profiles that are analyzed by a third party economic, academic research ever done" on raising to make sure he's not wasting the extra 50 cents on the minimum wage says so, according to a spokesman unreliable help. Figuring that the minimum-wage for Mr. Josten of the Chamber of Commerce. The wage floor bumps up again to $5.15 an increase will cost him about $350,000 a year, Mr. hour next September. And some states are raising Tmsley says he "can't afford to make mistakes." their pay floors beyond the federal standard. As a And at first, it looked as if the higher prices would backfire, as traffic quickly slowed at his 40 result, Federal Reserve officials generally expect that restaurants. But maybe the pending election had the economy will eventually create 100,000 to patrons sitting on their wallets, Mr. Tinsley figures, 200,000 fewer jobs. As for inflation, "it's a little too early for that to because they're back ordering beef. be seen," says Representative Walker. "Wait until six And since many of them are in the lower-income bracket-paying an average of $7.75 a person for or nine months down the road, when the cycle plays supper-he thinks maybe the extra minimum-wage itself out." QUESTIONS FOR DISCUSSION 1. How did the minimum wage change in October 1996? What other change occurred in September 1997? 2. Recognizing Cause and Effect Why was the "blow" of the October 1996 change softer on some employers than it might have been? 3. Identifying Alternatives What alternatives did some employers use to lessen the impact of the change on their bottom line? (List at least three.) Unit 2 Debating Current Issues with The Wall Street Journal Classroom Edition 7 NAME ___________________________________ CLASS - - - - - - - - DATE . , . . . . - - - - - - - - Debating Current Issues with The Wall Street Journal Classroom Edition Debate Activity Sheet: The Impact of Policy Changes Whenever any policy is changed, different groups of people are affected in different ways. Who is affected by changes in the federal government's minimum-wage policy, and how are they affected? Review the excerpts from the two minimum-wage articles in the text and "New Minimum Wage Makes Few Waves" (on the previous two pages of this booklet). Then use this activity sheet to provide at least two examples of how each of the affected parties is helped as well as hurt by an increase in the minimum wage. You can use this information to back up your arguments in the debate. We've given you a start with two examples. How Are They Affected? Helped Hurt Will have a harder time getting entry-level jobs because of higher labor costs Young and/or Inexperienced Workers Older and/or Experienced Workers Business Owners Consumers The U.S. Economy 8 Increased productivity Unit 2 Debating Current Issues with The Wall Street Journal Classroom Edition
Purchase answer to see full attachment