The Economics of Gas Prices
Subject: Social Studies
Grades: 9-12
Ages: 14-18
Lesson Objective
The price of gasoline has fluctuated dramatically in recent years and has been the topic of considerable discussion and concern. In this lesson students will research the changes in gasoline prices from the 1970s to the present and the causes of such changes. Incorporating price data and additional research, students will analyze the patterns and trends and synthesize their conclusions within a historical context.
Teacher Instructions
- Introduce the lesson by asking students if they have any opinions about the price of gasoline. Ask them if they know what contributes to the price, and if they have any idea why it changes so frequently, or why it varies so much between gas stations in the same town, as well as gas stations around the country.
- Explain that students will research the history of gas prices and the reasons why prices change using available educational resources and the Internet. Discuss any other resources available to the students and explain that they will need the information to complete an activity in InspireData. One excellent web page is “A Primer on Gasoline Prices” at the Energy Information Administration (EIA): www.eia.doe.gov/pub/oil_gas/petroleum/analysis_publications/primer_on_gasoline_prices/html/petbro.html
Other excellent resources include the EIA’s Petroleum Timeline at: www.eia.doe.gov/kids/history/timelines/petroleum.html
More advanced resources are detailed below under Lesson Adaptations. - Demonstrate how students can access the Gasoline Prices database from the InspireData Starter Screen>Databases>Social Studies and discuss the information contained in the tables. The database contains three tables: the first two tables contain the same data on gasoline prices from 1976 to 2006, just arranged differently, and the third table contains prices that are broken down to show total prices, service station prices, and the amount of tax in inflation-adjusted dollars.
- Select the first table, Gasoline Prices and demonstrate how to switch to Plot View. Discuss any initial observations students have about the data and record them in the Notes area. Add an appropriate Title and then Capture a slide.
- Select the second table, Monthly Gasoline Prices in Time Series and play the Animated Time Series plot to see the monthly variations in gas prices change by years. Again, discuss any initial student observations, record them in a Note, add a Title, and then Capture a slide. Repeat the process with the third table.
- Show the example of the completed activity, so students have an idea of what is expected of them. Review how students will be using their research to write informed commentary on their Slides. Specify a minimum number of slides students are expected to create.
- Divide students into as many groups as there are computers available. Direct them to open the Gasoline Prices database: InspireData Starter Screen>Databases>Social Studies and begin exploring the data by looking at the different plots. Students should analyze the data and apply what they learned in the research process to record informed Notes and then Capture slides.
- Close with a discussion about the exercise. What interesting trends were discovered, and what was likely to account for the trends? How does supply and demand affect gas prices? What national and world events could affect prices? What consumer choices and behaviors could affect prices? Do students think gas prices will generally be higher or lower in the future and why?
Assessment
- Students can be assessed on the quality of their plots and the recorded observations. Completed projects can be printed and turned in or saved to a common folder on the school network.
- Students may also be assessed on their participation in the class discussion.
Lesson Adaptations
- Class presentations can be assigned to explain three interesting observations with the likely reasons for the developments. Presentations could be assessed on successfully relating the information, speaking clearly, developing rapport with the audience, etc. Students can take notes on their classmates’ presentations which can be submitted for credit, or they could be expected to integrate their classmates’ observations into their own InspireData projects.
- For younger students or those with special needs, fewer slides and notes with less detailed information could be required.
- For older or more advanced students, more slides and more detailed information could be required. For example, high school students could be expected to discuss how changing gas prices trends have impacted additional economic, social and political issues.
- For older or more advanced students, additional readings and other resources could be assigned as part of the research process, such as:
