GTLE Economics cheat sheet

GDP (expenditure approach): GDP = C + I + G + (X − M); only final goods, produced within borders in a period; transfer payments and second-hand sales excluded.

Price elasticity of demand: Ed = (%ΔQd)/(%ΔP); |Ed|>1 elastic, |Ed|<1 inelastic, |Ed|=1 unit elastic; revenue rises with price cut only when demand is elastic.

Real vs nominal: Real GDP = Nominal GDP / (GDP deflator/100); real interest ≈ nominal interest − inflation (Fisher approximation).

Money multiplier: m = 1/reserve ratio (simple model); central bank open-market purchases raise reserves and expand deposits; sales contract them.

Comparative advantage: a party has it where opportunity cost of production is lower; specialization and trade raise total output even if one party has absolute advantage in both goods.

Market structures: perfect competition (price taker, P=MR=MC in long-run equilibrium), monopoly (MR<AR, profit-max where MR=MC), monopolistic competition (differentiated, free entry, zero long-run profit), oligopoly (strategic interdependence).

Externalities: negative externality causes marginal social cost > marginal private cost → overproduction; Pigouvian tax or tradable permits internalize; positive externality → underproduction, subsidy or public provision.

Phillips curve and policy: short-run trade-off between inflation and unemployment; expectations-augmented (long-run) curve is vertical at the natural rate; supply shocks shift the short-run curve.

Balance of payments identity: current account + capital/financial account + statistical discrepancy = 0; a current account deficit is matched by net capital inflow.

Backward design (Wiggins & McTighe): identify desired results → determine acceptable evidence → plan learning experiences; assessment precedes activity design.

Bloom's revised taxonomy order: remember, understand, apply, analyze, evaluate, create; align objectives, activities, and assessment at the same cognitive level.

Formative vs summative: formative is ongoing, low-stakes, feedback-oriented; summative is end-of-unit, judgment-oriented; both must map to stated learning outcomes.

Test item quality: difficulty index p = proportion correct; discrimination index D = p(upper group) − p(lower group); D ≥ 0.30 generally acceptable, negative D signals a flawed item.

Reliability and validity: reliability is consistency of scores (test-retest, internal consistency, inter-rater); validity is whether scores support the intended interpretation; reliability is necessary but not sufficient for validity.

Rubric design: analytic rubrics score criteria separately (better diagnostic feedback); holistic rubrics give one overall score (faster, less diagnostic); criteria must be observable and described at each performance level.

Curriculum alignment: standards → objectives → instruction → assessment; a table of specifications (test blueprint) maps item counts to content areas and cognitive levels.

Differentiation: adjust content, process, or product based on readiness, interest, and learning profile; universal design for learning offers multiple means of representation, engagement, and expression.

Feedback best practice: specific, timely, criterion-referenced, and actionable; grades alone do not improve learning as much as descriptive feedback tied to next steps.

Confidentiality: student records (grades, IEP/504 plans, discipline, health) are disclosed only on a need-to-know or legally authorized basis; FERPA grants parents/eligible students inspection and amendment rights.

Mandatory reporting: suspected child abuse or neglect must be reported to designated authorities within the timeframe set by state law; internal notification does not satisfy the legal duty.

Assessment ethics: no coaching on specific test items, no altering answer sheets or scores, no reclassifying students to manipulate accountability data; test security procedures must be followed.

Conflict of interest: disclose outside employment, tutoring of one's own students for pay, gifts, or relationships that could impair objectivity; recusal is the default remedy.

Copyright and fair use: classroom use of copyrighted economics data, articles, and problem sets is bounded by fair-use factors (purpose, nature, amount, market effect); attribution does not itself create permission.

Accommodations vs modifications: accommodations change access (extended time, separate setting) without changing what is measured; modifications change content or standards and affect the meaning of scores.

Data privacy and technology: student data stored in apps or LMS platforms must comply with district policy and applicable privacy law; avoid sharing identifiable student work publicly without consent.

Professional conduct: maintain appropriate boundaries with students, model academic integrity, and follow district policies on social media, recording, and communication channels.

Due process in grading and discipline: apply published policies consistently, document decisions, and provide notice and an opportunity to respond before adverse academic or disciplinary action.