Is UK Government action led by the economy?
I can explain how we know if the economy is healthy and how the economy affects the UK Government.
Is UK Government action led by the economy?
I can explain how we know if the economy is healthy and how the economy affects the UK Government.
These resources will be removed by end of Summer Term 2025.
Lesson details
Key learning points
- A healthy economy has GDP growth, low unemployment, stable inflation and strong business investment.
- In a recession, the Government may borrow money or lower taxes, while in a strong economy, it invests in services.
- Inflation is important, and the Government aims to keep it low but positive to prevent rapid price rises or slow growth.
- Taxes may be raised to control inflation in good times, and cut to boost spending in a recession.
- While areas like defence, law enforcement and elections are less affected by the economy, it still influences decisions.
Keywords
Economy - the state of a country or region in terms of the production and consumption of goods and services and the supply of money
Inflation - the rate at which the prices of goods and services rise over time, meaning money gradually loses value
Common misconception
Inflation is always a negative thing because it raises prices of goods and services.
A small amount of inflation is actually necessary to keep the economy stable and encourage spending.
To help you plan your year 10 citizenship lesson on: Is UK Government action led by the economy?, download all teaching resources for free and adapt to suit your pupils' needs...
To help you plan your year 10 citizenship lesson on: Is UK Government action led by the economy?, download all teaching resources for free and adapt to suit your pupils' needs.
The starter quiz will activate and check your pupils' prior knowledge, with versions available both with and without answers in PDF format.
We use learning cycles to break down learning into key concepts or ideas linked to the learning outcome. Each learning cycle features explanations with checks for understanding and practice tasks with feedback. All of this is found in our slide decks, ready for you to download and edit. The practice tasks are also available as printable worksheets and some lessons have additional materials with extra material you might need for teaching the lesson.
The assessment exit quiz will test your pupils' understanding of the key learning points.
Our video is a tool for planning, showing how other teachers might teach the lesson, offering helpful tips, modelled explanations and inspiration for your own delivery in the classroom. Plus, you can set it as homework or revision for pupils and keep their learning on track by sharing an online pupil version of this lesson.
Explore more key stage 4 citizenship lessons from the How does the economy work? unit, dive into the full secondary citizenship curriculum, or learn more about lesson planning.
Equipment
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Supervision
Adult supervision required
Licence
Starter quiz
6 Questions
planning income and expenses to manage money effectively
taking money from a lender with an agreement to repay it later
setting aside money for future use, often in a bank account
protections and entitlements when buying goods or services
the extra money a person needs to pay back for having loan
Exit quiz
6 Questions
the system of trade, industry and money in a country
the rate at which prices rise, affecting the value of money
the total value of all goods and services produced in a country
a period where a country's overall financial activity decreases