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The EBE Journal JOURNAL OF THE ECONOMICS AND BUSINESS EUCATORS NEW SOUTH WALES

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2010, No 1

BY SUBSCRIPTION REGISTRATION NBY AUSTRALIAN POST PUBLICATION NUMBER NBP 1944

the ebe journal

JOURNAL OF THE ECONOMICS AND BUSINESS EDUCATORS NEW SOUTH WALES

2010, Journal 1 Contents

President’s Report

3

The performance of the Australian Economy in the face of the global financial crisis Dr Anthony Stokes

8

Fair Work Australia – the recent changes to Australia’s Industrial Relations system Dr Sarah Wright

16

Helping our Economics students to write Extended Responses Lyn Kirkby

24

Structuring an Extended Response

27

Economics – their similarities and differences

30

NSW PYOE competition 2009

33

‐ Winners 35

Have you made these changes to your School Assessment? 36

please note

Contributors are reminded that papers submitted to the Editor should be supplied as hard copy as well as on disk or by email. Hard copies must be laser quality print‐outs, double spaced and preferably on A4 paper. Please ensure that all graphics (tables, diagrams, illustrations, etc.) included in the paper are of suitable quality for reproduction. The disk copy should be provided, preferably in Word format, or saved as a text file. If the file includes graphics (tables, diagrams, illustrations, etc.) created in another application, please also supply disk copies of the original graphics files.

Resources

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PRESIDENT: Ms Lyn Kirkby

VICE PRESIDENTS: Mr Michael Horsley Ms Anne Layman

TREASURER: Mr Joe Alvaro

COMPANY SECRETARY:

Ms Bronwyn Hession

DIRECTORS: Ms Kate Keely

Mr Phil Manocchio Mr Gavin Russell

Ms Pauline Sheppard Ms Lisa Spaccavento

Ms Rhonda Thompson Ms Jennifer Gibson

EDITOR:

Ms Anne Layman

DESKTOP PUBLISHING: Ms Gay-Louise Purchase

PUBLISHED BY:

Economics & Business Educators NSW ABN 29 002 677 750

ISSN 1488-3696

PO Box 67 Leichhardt NSW 2040

Phone: (02) 9564 5007 Fax: (02) 9564 5309 Mobile: 0411 118284

Email: [email protected] Website: www.ebe.nsw.edu.au

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The ISSN assigned to EBE Journal is 1834-1780.

The views expressed in these articles are not necessarily those of the editor or the association. All articles published are done so in good faith and without prejudice.

All contributions are received in good faith by the editor as original contributions of authors, and to the knowledge of the editor there has been no breach of copyright by the publication of any articles, diagrams or figures in the magazine. If due to the failure of an author to correctly inform that his/her work is not an original work and there is a breach of copyright, the editors, having no prior knowledge, cannot accept responsibility.

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report president’s report

president’s report 2009 Annual General Meeting by Lyn Kirkby

t is my pleasure to present the annual report for 2009 in my first year in the role of President of EBENSW. Whilst the year

has been a success and there is much to celebrate, challenges remain and these will also be outlined in this report.

Overall 2009 has been another successful year for EBE. If we measure our success by our financial situation, this is especially the case. Whilst the Treasurer’s report will provide detail, I acknowledge and thank the Board, the office staff and the membership for their support this year in enabling the continued improvement. Our financial resources have grown significantly to the point where our balance at the end of 2008‐09 stood at $72,879. This places us in a comfortable position and allows flexibility and security going forward. The recent increases have come from hard work…the new edition of the Yellow Book, the Trial Exam papers conferences and now bank interest all assisting with the growth in income. Hopefully the new edition of the Red Book will give a boost for 2009/10. Membership numbers have also been strong, providing a solid base for the improvement and we have done well with cost containment on conferences thanks in particular to Pauline Sheppard, Joe Alvaro and AGQTP funding.

Success is measured in more ways that the bank balance though, and has again has also come from a range of professional development and professional sharing opportunities.

The feedback from our professional development activities this year was excellent, with those who attended reporting high value for their investment. The Annual Conference was well organised thanks to Bronwyn Hession’s skill and contacts and was also well attended. Professional sharing by Lisa Spaccavento, Chris Kassar, Andrew Skehan, Kate Keeley, Phil Manocchio, Gavin Russell and Joe Alvaro was highly valued by early career teachers and those teaching Year 12 for the first time. The Economics Teachers Conference was a sell out and we had to move to a larger room at Parliament House. We again worked with the Geography Teachers’ Association on the Leadership Conference and EBE acknowledges the efforts of Sarah Menassa from GTA for her work on this event.

However, some challenges emerged for the Board with a plan to reduce some conference activity and make some changes for 2010 to make the program more manageable. Hopefully the changes will be well received by members. A big thank you goes to each of the

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Directors who assisted in the planning, organisation and evaluation of each conference this year. A thank you also goes to the publishers who have supported our events this year and to Phil Manocchio for picking up the liaison with publishers and to the office for their administration and support with these events.

Increasingly, communication amongst Board members and with the EBE membership is changing. I thank Rhonda Thompson for her work and innovation with the EBE Website and acknowledge that there is more growth to come there. The electronic version of the EBE Journal, edited by Anne Layman is a further evidence of this and I add my thanks to Anne for her work on the journal this year.

EBE has been called upon this year to represent members in consultations with the Board of Studies in relation to syllabus changes in Economics and Business Studies. Participating in the review of Economics were Bronwyn Hession, Andrew Skehan and myself, whilst thanks go to Mike Horsley, Rhonda Thompson and Phil Manocchio for their ongoing work in relation to Business Studies. As these changes flow through to teachers and their students, we will have a significant role to play in communicating these changes with members and, where possible, providing support to enhance learning for all students across NSW.

The Red Book has been a challenge for Directors this year as the task continued to generate a significant workload. Thanks go to former Directors Gae York, John Nairn and Betsy Harvey for producing the original draft of this publication and to Bronwyn Hession and Anne Layman for assisting me in editing

and the writing of marking guidelines. The delay in publication of the Red Book caused concern to Directors and this is a challenge that we hope to address in the future.

Our links with Business Educators Australasia (BEA) continues to be important in 2009 and beyond. The importance of BEA will grow along with national curriculum and national goals and as testament to the value we place on our involvement with BEA, Bronwyn Hession has taken on the role of Vice President of BEA this year. We are, as always, most grateful to Bron for the time she has contributed to strengthening this link. The Plan Your Own Enterprise Competition is another joint project with BEA and the 2009 competition saw EBE resume formal presentations to the State winners. Special thanks go to Gavin Russell for taking over the coordination of this competition and to the EBE Board members who assisted with assessing. Sincere thanks go to Annette and Alan for the competition administration and to those schools who entered such high quality reports for assessment and to the judges, Michael Hanrahan and John Watson for their ongoing support.

Last year at this time, then President Bronwyn Hession listed a range of challenges that EBE would face in 2009 and beyond. Much of this agenda remains.

• It is still a critical time for the teaching profession and so it is for professional associations, especially as we see the emergence of national, subject based professional teaching standards, along with national goals and national curriculum.

• The NSW Institute’s higher levels of accreditation are now available and we

need to provide greater support to our members in assisting them to meet the exacting requirements of Accomplished and Leading Standards. There is work to be done in ensuring that our members are aware of the value of participating more actively with EBE in demonstrating these Standards.

• Further corporate sponsorship has not been achieved in 2009 and remains on the agenda for 2010

• New technologies are being investigated by EBE at the moment, but we have a long way to go in adopting these technologies. On the agenda for 2010 is the use of forums for Directors to reduce the need for meeting time at Leichhardt.

• The tension between quality and timely publication of support materials has been a challenge for EBE this year and we will need to do better in 2010 at ensuring that we meet the deadlines that we set.

For 2010, I add a significant new challenge…the composition of the EBE Board itself. Whilst the 2009 Board has worked long and hard to achieve our goals, we often find that we are short in number and in need of support in completing the targets that we set ourselves. There is concern about the sustainability of the Board going forward and a significant challenge in recruiting new Directors and Executive members of the Board. Maintaining a truly cross sectoral Board is also a priority.

Some special thanks to conclude the Report.

As always, the office has continued to offer above and beyond this year and warm thanks go to Annette Davies and Alan Hearle. Without them it all falls apart and their contribution to the improved financial status of EBE does not go unnoticed. A big thankyou to Vice Presidents Anne Layman and Mike Horsley for their expertise and support and also to Bronwyn Hession who, as Company Secretary, has really kept our focus in the right place and provided much appreciated organisation around meetings and our broader agenda. Thank you too, to Andrew Skehan, who, as Treasurer, has provided clear and concise reports for Board meetings and kept us up to date. I also thank Kim Tsolakis, President of PTC, who has offered growing support and guidance and also Reckon for their ongoing sponsorship.

In conclusion, a big thank you to all on the Board for their support and assistance this year. My best wishes to both Andrew Skehan and Chris Kassar who are taking leave from the Board for 2010. We look forward to welcoming you back in 2011 and wish you all the best for the year. Undertaking this voluntary work in addition to employment and family responsibilities is a challenge for us all and I thank each of you on behalf of myself and also the membership.

Lyn Kirkby

President EBE NSW

26 October 2009.

report Annual Report 2009

The performance of the Australian Economy In the face of the Global Financial Crisis by Dr Anthony Stokes Senior Lecturer in Economics ACU National, Strathfield by Lyn Kirkby

he Australian economy had grown steadily from 1993 to the middle of 2008, recording one of the highest average rates of growth among OECD nations in the period. Australia has had an average growth in real GDP of close to four percent per annum (Figure 1). This economic

growth contributed to a decline in Australia’s unemployment rate to reach a 30 year low. However, this relatively high and continuous level of growth now faces setbacks as a result of the Global Financial Crisis. Let’s look at the overall state of the economy and the impact this is having.

Figure 1: Australia’s GDP

Australia’s Economic Growth Performance

Having established that Australia can be proud of her performance in regard to economic growth over the last 16 years, the world and the Australian economy has turned with the ‘Global Financial Crisis’. The

T

financial crisis began in the US in the middle of 2007. Since 2006, 40% of new U.S. mortgages were non‐prime mortgages, often with very high loan‐to‐value ratios and minimal documentation. These were risky loans and led to bad debts. Economic activity slowed in many advanced economies in the face of tightening credit conditions, with advanced economies falling into mild recessions by the middle quarters of 2008, but with emerging and developing economies continuing to grow at fairly robust rates by past standards. It looked like until the middle of 2008 that global growth would cushion the damage in the US. The situation deteriorated rapidly after the dramatic blowout of the financial crisis in September 2008, following the default by a large U.S. investment bank (Lehman Brothers), the rescue of the largest U.S. insurance company (American International Group, AIG), and government intervention in a range of other financial and allied institutions in the United States and Europe (Figure 2).

Figure 2 – Real GDP Growth (%)

Source: IMF, World Economic Outlook Update, 2009.

The poor lending practices of the global financiers have led to a decline in business and consumer confidence and the ramifications have been quickly transmitted to all sectors and countries of the global economy. There have been sharp falls in global share markets and falls in property prices throughout most economies. These in turn have led to a massive loss in household wealth and the net worth of superannuation funds.

Falling demand in the global economy has been reflected in falling levels of exports and lower commodity prices in the last six months (Figure 5). This has impacted on Australia with economic growth through the year March 2008 to March 2009 declining from 3.4% to 0.3% in trend terms and from 3.4% to 0.4% in seasonally adjusted terms. The Australian Bureau of Statistics (July 2009) reports that the small growth (in seasonally adjusted volume terms) over the past four quarters was a result of growth in net exports (contributing 3.2 percentage points to GDP growth), household final consumption expenditure (0.5 percentage points), consumption expenditure by the government (including the fiscal stimulus packages) (0.4 percentage points), and private business investment (contributing 0.2 percentage points). Offsetting the growth during the past four quarters was a decline in inventories (detracting 1.9 percentage points) and a fall in housing investment (‐0.3 percentage points). This trend is reflected in Figure 3.

Figure 3: Contributions to Australia’s Economic Growth in 2008‐09

Australia’s External Balance

The fall in the value of the Australian dollar in the second half of 2008 has led to an improvement in international competitiveness. This has tended to impact mostly on rural exports which have increased in the past 12 months (Figure 4). However, the slowing in the global economy has let to a decline in the overall share of exports as a percentage of GDP. Despite this the Current Account Deficit has improved due to lower borrowing costs and a lower demand for imports as a result of the lower dollar and slowing Australian economy (Figure 5). The Balance of Goods and Services has moved into a surplus for the first time in many years, to the value of 0.6% of GDP. These factors have contributed to the Current Account Deficit falling from 6.5% of GDP in March 2008 to 3.1% of GDP in March 2009 and the Net Foreign Debt declining slightly to $674.2 billion (57.1% of GDP). These improvements may not remain as the global financial crisis has impacted on commodity prices leading to a decline in the Terms of Trade by 6% in the last 6 months, after a rise of 15% in the previous six months. In addition the Australian dollar has risen from its late 2008 lows, taking away some of the competitive advantage gained.

In the period 2001 to 2008 Australia’s terms of trade rose over 70%. The impact of this was an increase in the value of the Australian dollar compared to the US dollar from one dollar Australian equaling 48 cents US to a value of 96 cents, an increase of 100%. At the same time the value of the TWI rose from 49 to 69, an increase of 40%. The value of the Australian dollar compared to both the TWI, and the US dollar rose strongly till the middle of 2008. The worsening of the US financial crisis and the impact it had on the regular economy spread across the globe and has led to a decline in the value of the Australian dollar compared to both the TWI and the US dollar as shown in Figure 6.

Figure 4: Composition of Australia’s Exports

Figure 5: Australia’s Current Account Deficit and Terms of Trade

The fall in the value of the Australian dollar from 96 cents US in June 2008 to 64 cents US in January 2009, accompanied by a subsequent decline in the TWI from 73 to 53, led to an increase in Australia’s net foreign debt due to the need to repay more Australian dollars to achieve the equivalent value of the foreign currency that was borrowed. In the calendar year of 2008 the impact of the decline in the value of the Australian dollar added $84.9 billion to the level of Australia’s net foreign debt (ABS, 2009). The recent rise in the Australian dollar is having the reverse effect.

Figure 6: Fluctuations in the Australian dollar and the TWI

Employment in Australia

The high economic growth in Australia in recent years has lead to increased employment and falling rates of unemployment (Figure 7). Generally a level of economic growth of just over three percent is required to reduce the level of unemployment in Australia. This is determined by considering the level of labour productivity in the workforce and the increase in the number of workers joining the workforce. The greater demand for labour and increased labour market flexibility has also led to an increase in the participation rate in recent decades. The onset of the global financial crisis has led to a falling demand for labour and rising levels of unemployment. Australia’s unemployment rate has risen from 4.1% in March 2008 to 5.8% in June 2009.

One of the features of the labour market in Australia in the 1980’s and 1990’s was that part‐time employment had increased at a greater rate than full‐time employment. As a result the proportion of part‐time employed persons rose over the period, increasing from 17 percent in 1983‐84 to 28 percent in 2003‐04. However, from 2003 to the middle of 2008 full‐time employment increased at a greater rate than part‐time employment ‐ the first time since the commencement of the monthly Labour Force Survey in 1978 (Figure 8). This reflected the tightening of the labour market as labour usage in many areas, especially skilled areas, was nearing full capacity. Part‐time workers were being offered full‐time employment.

However, in the last 12 months as the global financial crisis hit, this trend was reversed and full‐time positions declined and there was a growth in part‐time positions. Allowing for all this, there has still been a net loss of 33,000 jobs since November 2008.

Figure 7: Australia’s Unemployment and Participation Rates

Figure 8: Part‐time and Full‐time Jobs Growth in Australia

Inflationary Trends

Despite the fall in the Australian dollar which would generally add to inflationary pressures, the inflation rate in Australia has fallen. Inflation fell from 3.4% in 2007‐08 to 2.5% in March 2009. Inflation rate has returned to the RBA’S 2‐3 percent inflation target, not that this is seen as a major issue in this period of global slowdown (Figure 9). The main factors that impacted on inflation in the past 12 months were:

Food (+5.7%) Housing (+5.5%), Education (+5.0%) and Health (+5.3%)

These were partly offset by a fall in transportation costs (‐4.6%), with fuel prices falling 16.7% in the year. Obviously any further rises in fuel prices will add to inflationary pressures.

Figure 9: Australia’s Consumer Price Index

Wage growth has also slowed as a result of lower demand in the economy and rising unemployment rates. In the twelve months to February 2009, full‐time adult total earnings rose by 5.7% for males and 5.1% for females. The recent ruling by the ‘Fair Pay Commission’ to give low paid workers no wage rise will undoubtedly reduce average earnings further in the next twelve months.

What are the challenges facing the Australian economy?

The Governor of the Reserve Bank, Glenn Stevens, stated in July 2009 that the RBA’s assessment of the situation could be summarised as

The global economy is stabilising, after a sharp contraction in demand during the December and March quarters. Downside risks to the outlook have diminished, with conditions in global financial markets improving this year and action to strengthen balance sheets of key financial institutions under way. Growth in China has strengthened considerably, which is having an impact on other economies in the region, including Australia.

Nonetheless, credit conditions remain tight and the effects of economic weakness on asset quality present a challenge. There is tentative evidence that the US economy is approaching a turning point, but conditions in Europe are still weakening. While the considerable economic policy stimulus in train around the world should support recovery, it is likely to be slow at first. For it to be durable, continued progress in restoring balance sheets is essential.

A pick‐up in housing credit demand suggests stronger dwelling activity is likely later in the year. House prices are tending to rise. Business borrowing, on the other hand, has been declining, as companies postpone investment plans and seek to reduce leverage in an environment of tighter lending standards (RBA 2009).

Recovery from the Global Financial Crisis will be slow. The IMF has predicted that global growth will reach 3.0% in 2010. Advanced economies are expected to grow by only 1.1%. The emerging and developing economies are projected to grow by 5% in 2010 with China leading the way with 8%. These levels are still likely to lead to increased unemployment rates at least until 2011.

Reference List

Australian Bureau of Statistics (various), Australian Economic Indicators, Cat.No. 1350.0. Canberra. Australian Bureau of Statistics (various), Australian National Accounts, Cat.No. 5602.0. Canberra. Australian Bureau of Statistics (various), Employee Earnings and Hours, Cat.No. 6306.0. Canberra. Australian Bureau of Statistics (various), The Labour Force, Cat.No. 6203.0. Canberra. Reserve Bank of Australia (various), Reserve Bank Bulletin, Canberra. International Monetary Fund (2009), World Economic Outlook, available at http://www.imf.org/ Stokes, A (2008) The Global Economy and Globalisation, Sydney. Greenacre Educational Publications. Stokes A. and S.Wright (2009) Globalisation and the Global Financial Crisis, Sydney. Greenacre Educational Publications.

Websites Australian Bureau of Statistics. http://www.abs.gov.au

Greenacre Educational Publications. http://homepages.ihug.com.au/~gep/

Reserve Bank of Australia. http://www.rba.gov.au/

Fair Work Australia

Fair Work Australia The recent changes to Australia’s Industrial Relations System By Dr Sarah Wright Lecturer in Economics, Australian Catholic University, Strathfield

or much of Australia’s history, there has

been a system of wage determination

different from most other industrialised nations.

This involved a system of compulsory

arbitration. Under this system, most workers

had their minimum rates of pay and other terms

of work set out in an award. However, in the

last five years there have been three major

legislative changes made to Australia’s industrial

relations system. These include the Workplace

Relations Amendments (Work Choices) Act

2005, the Workplace Relations Amendment

(Transition to Forward with Fairness) Act 2008

and the Fair Work Act 2009.

Between 2006 and 2008 all persons employed

by corporations, under the jurisdiction of the

Commonwealth, Victoria or Territories were

governed by the Workplace Relations

Amendments (WorkChoices) Act 2005. This

amounted to 80 percent of Australia’s

Workforce. All employees who were covered by

WorkChoices had their pay and working

conditions governed by the Australian Fair Pay

Commission (AFPC). This act was considered by

many (Peetz, 2007) to be the most

revolutionary changes in Industrial Relations (IR)

legislation. Some of the key changes included

the abolition of the ‘no disadvantage test’, the

introduction of Australian Workplace

Agreements (AWAs) and the reduction in the

number of basic working conditions to five

conditions.

The impact of WorkChoices

Before WorkChoices was enforced the OECD

(2004) ranked Australia 22nd out of 28 OECD

countries for employment protection. After

WorkChoices was implemented Australia’s

position fell to 25th out of 30 OECD countries for

employment protection (OECD, 2009). This was

the consequence of a loss of free bargaining and

choice for employees. For instance, employers

could offer an Australian Workplace Agreement

(AWA) as a condition of employment, for under

the act it was not considered duress for

employers to insist that employees sign an AWA

as a condition of being employed. In addition,

workers could be dismissed for ‘operational

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reasons’ which extended to include economic,

structural or technological reasons. This

provided a loophole for employers where they

could rehire workers on lower wages and

working conditions, such as in the case of the

Cowra Abattoir workers.

Although the Government at the time argued

that WorkChoices would create more jobs, lift

wages and result in a stronger economy,

WorkChoices had the opposite effect on the

economy. WorkChoices did not solve the

challenges facing the economy at the time.

These challenges included:

Increasing Australia’s productivity

Overcoming a skills shortage

Improving living standards

(i) Increasing Australia’s productivity

In regards to productivity there is no evidence

to suggest that a more decentralised wage fixing

system will increase productivity. The chart

below suggests that the higher the award

dependency the higher the labour productivity.

According to Peetz (2007) the economic miracle

of rising labour productivity has not yet

materialised. According to the OECD (2007)

Australia’s labour productivity growth was 23rd

highest out of 32 countries in 2006.

Figure 1. Industry labour productivity growth and award dependency 2002‐03 to 2003‐04

Source: Adapted from ACCI (2004 p. 12)

(ii) Overcoming a skills shortage

In 1994 the Government introduced unfair

dismissal laws. Employers argued that they would

be more inclined to hire workers if they were not

penalised should they wish to sack them.

However, when unfair dismissal was introduced

in 1994 employment growth equalled 3.9%.

When unfair dismissal was abolished

employment growth was 2.6%. Therefore

removing unfair dismissal did not create jobs but

rather reduce the rate of employment growth.

Likewise WorkChoices did not reduce the skills

shortage. For example, WorkChoices’s attempt to

reduce the skills shortage involved encouraging

school based apprenticeships. While there is a

need to increase the number of tradesmen

having more apprenticeships may not translate

into an increase in the supply of labour. A key

problem related to the skills shortage is the

attractiveness of the occupation. For example,

According to Australian Institute of Health and

Welfare (AIHW) (2008) there are 41,000

registered nurses in NSW who do not work in the

profession. Part of the solution must be higher

pay and working conditions. However,

WorkChoices threatened existing pay and

working conditions. For example, AIHW (2008)

reported 16,000 nurses were working more than

50 hours per week.

(iii) Improving living standards

Under WorkChoices the Australian Fair Pay

Commission (AFPC) refused to grant any wage

rise in 2009 and provided minimal increases in

some other years. In addition to this the 18th

month gap between the final decision of the

Australian Industrial Relations Commission (AIRC)

and the first decision of the AFPC meant real

wages for those on the award wage had declined

(Workplace Express, 2006). With the removal of

the no‐disadvantage test this award wage

became the basis for wages and working

conditions for those on AWAs and collective

agreements. Previously under the ‘no

disadvantage test’ proposed agreements were

compared to the totality of award pay and

conditions which included penalty rates, overtime

conditions, shift penalties, bonuses and

allowances. The removal of the ‘no disadvantage

test’ meant that for some workers who had

moved from a collective agreement to an AWA

they would be worse off.

Moreover, Peetz (2007) argues that employees

on AWAs did not receive the wage increases that

the Government implied WorkChoices would

deliver. Under WorkChoices those who were on

collective agreements received an average annual

wage increase of 3.6 percent or 3.9 percent if

represented by a union. The average annual wage

increase for those on AWAs was 2.2 percent.

These findings suggest that solidarity translates

into bargaining power yet the aim of

WorkChoices was to reduce solidarity and third

party intervention.

The overall impact of WorkChoices on wage

relativities saw a decline in wages as a share of

total factor income as shown in Figure 2. From

2005 to 2008 wages share of total factor fell from

54.2 percent to 53.3 percent. These levels are

way below the 61.1 percent of 1983 and shows

the steady decline from the 56.2 percent in 1997

when the Howard government came in to power.

From 1997 to 2008 profits share of factor income

rose from 22.7 percent to 26.5 percent.

Figure 2. Wages as a proportion of national income

Source: Adapted from ABS cat no. 5206.0 (2009)

Furthermore, the Office of the Employment

Advocate (OEA) (2006) states that 100 percent of

all AWAs cut at least one ‘protected award

condition’ and that:

• 64% cut annual leave loading;

• 63% cut penalty rates;

• 52% cut shift work loadings;

• 51% cut overtime loadings;

• 48% cut monetary allowances;

• 46% cut public holiday pay;

• 40% cut rest breaks

• 36% cut declared public holidays; and

• 22% provided workers with no pay rise

(some up to 5 years).

WorkChoices was less family friendly than the

previous IR system. The OEA (2006) found that 75

percent of all AWA’s did not have provisions for

family‐friendly work arrangements. Only seven

percent of those on AWA’s had paid maternity

leave, six percent had annual leave and two

percent had access to single days of annual leave.

A study by Baird, Cooper and Oliver (2007)

discovered that families found it increasingly

difficult to meet daily expenses. Baird, Cooper

and Oliver (2007) argue that workplace changes

such as, the abolition of unfair dismissal and

reductions in pay and working conditions had

resulted in the inability to meet mortgages and

personal debts and created for many families a

financial crisis. This in turn led to a loss of self

esteem and confidence and feelings of

embarrassment. Another noticeable finding in

this report was the growth in unpredictable and

unstable hours impacting upon caring roles.

While in Australia, the Australian Fair Pay and

Conditions Standard (AFPCS) reduced pay and

working conditions to five minimum conditions

other OECD countries had designed more family‐

friendly conditions such as increased support for

working carers, increased paid leave and reduced

unsocial working hours.

The Fair Work Act 2009

The most recent workplace changes have been

set out under the Fair Work Act 2009. These new

laws were enforceable from the 1st July 2009. The

main aim of this act is to restore the bargaining

power of employees with new general

protections for employees, as well as good faith

bargaining requirements. Two early changes

carried on from the Workplace Relations

Amendment (Transition to Forward with Fairness)

Act 2008 were the abolition of AWAs and the

establishment of the ‘no disadvantage test’. From

2010 all employees will have their pay and

working conditions set out under an agreement

or an award. All agreements will have to pass the

no‐disadvantage test. This ensures that a new

agreement does not reduce an employee's

overall terms and conditions of employment.

From 2010 this will be known as the Better Off

Overall Test (BOOT).

The other main workplace changes are:

• the establishment of three Fair Work

Australia Institutions;

• increasing the safety net;

• providing bargaining assistance for the

low paid; and

• the establishment of unfair dismissal

(i) The establishment of three Fair Work

Australia Institutions

From 2010 there will be three Fair Work Australia

Institutions. These are:

• Fair Work Australia;

• The Office of the Fair Work Ombudsman;

and

• Fair Work Divisions of the Federal Court

and Federal Magistrates.

Fair Work Australia is an independent body that

aims to be fast, efficient and fair. It will replace

seven agencies including the AIRC, AFPC and

Workplace Authority. Fair Work Australia’s

functions include approval of agreements, award

review, unfair dismissal, good faith bargaining

orders, mediation and dispute resolution and

setting and adjusting minimum wages. The Office

of the Fair Work Ombudsman will consist of Fair

Work Inspectors who will have the power to

enter premises to monitor and enforce

compliance with ‘safety net contractual

entitlements’. They will also be able to bring

court proceedings to enforce rights and

obligations. Under the Fair Work Act 2009 the

Federal court will have a General Division and a

Fair Work Division. The Fair Work Division will

adjudicate cases involving failures to comply with

an award or National Employment Standards

(NES). They will also exercise judicial power for

unfair dismissal claims of up to $20,000.

(ii) increasing the safety net;

Under the Fair Work Act 2009 the safety net will

increase with the establishment of new modern

awards (industry or occupation based awards)

and 10 National Employment Standards. The five

current basic working conditions will increase to

ten basic working conditions from 1st January

2010. These include:

1. Maximum weekly hours of work (38hrs)

2. Community service leave

3. Parental leave and related entitlements

4. Annual leave

5. 10 days personal carer’s leave and

compassionate leave for each year of

service

6. Request for flexible working arrangements

7. Long service leave

8. Notice of termination and redundancy pay

9. Public holidays

10. Fair Work Information Statement

In addition to these 10 National Employment

Standards, Fair Work Australia unlike the AFPC

will consider living standards and equal pay for

equal work when considering award wage

increases.

(iii) bargaining assistance for the low

paid;

Under WorkChoices, all workers on an AWA had

to negotiate their pay and working conditions.

This included employees such as cleaners who

had limited bargaining power. However, as of the

1st July 2009, employees working in areas such as

child care, aged care, security and cleaning can

enter multi‐enterprise bargaining agreements.

This is an agreement made by a group of

employees with the option of having a bargaining

representative.

(iv) establishment of unfair dismissal

If an employee felt that they had been unfairly

dismissed1 by their employer, it was not possible

to make an unfair dismissal claim unless the

person worked 12 months or more for a company

with 100 employees or more. The removal of

unfair dismissal protection affected 3.761 million

employees or 99% of all private sector firms.

The Fair Work Act has reintroduced unfair

dismissal laws however, in order to make a claim

an employee must have worked a minimum of six

months for a large firm and 12 months for a small

firm. The employee cannot make a claim if they

have worked less than this or if their income is

greater than $108,300 per year. In order to

provide further protection for employees, an

employer must now give a valid reason why a

worker may be at risk of being dismissed. This

reason must be based on the employee’s capacity

to do the job. There must at least be a verbal

warning and ‘operational reasons’ are no longer a

valid excuse.

1 The dismissal was harsh, unjust or unreasonable.

Conclusion

There have been a number of legislative changes

made to Australia’s industrial relations system

over the past five years. The first of a series of

changes was set out under the Workplace

Relations Amendments (Work Choices) Act 2005.

This act was considered by many (Peetz, 2007) to

be the most revolutionary changes in Industrial

Relations (IR) legislation. Changes such as, the

abolition of the no‐disadvantage test, the

introduction of Australian Workplace Agreements

(AWAs) and the reduction in the number of basic

working conditions to five conditions had reduced

the rights and working conditions for many

Australian workers. While the aim of

WorkChoices was to create more jobs, raise

wages and promote a stronger economy,

WorkChoices had the opposite effect on the

economy. In addition to this WorkChoices did not

solve the challenges facing the economy at the

time. These included increasing Australia’s

productivity, overcoming a skills shortage, and

improving the living standards of Australians. In

order to restore the rights and bargaining power

of employees, new laws were set out under the

Fair Work Act 2009. The key legislative changes

include the abolishment of AWAs, the

establishment of the no‐disadvantage test,

improving the safety net, the introduction of

unfair dismissal laws and the establishment of

three Fair Work Australia Institutions. While there

is hope that the abolishment of AWAs and the

increase in the safety net will restore the rights

and working conditions of employees, the 10

basic working conditions will be less than the 20

basic working conditions removed by

WorkChoices. Although employees and trade

unions are hopeful that Fair Work Australia will

lift the minimum wage for workers, Fair Work

Australia like the Fair Pay Commission will

consider the current state of the economy

including the level of unemployment. While the

establishment of the no‐disadvantage test and

the introduction of unfair dismissal laws will

ensure greater protection for workers, under

current legislation employers are only required to

provide one warning and then workers can be

dismissed. The impact of the Fair Work Inspectors

is unknown. Whether they will have sufficient

power and numbers to deal with the level of

compliance of the new laws has yet to be seen.

2010 will be an interesting year in industrial

relations in Australia.

References

• Australian Bureau of Statistics. (ABS).

(2009). Australian National Accounts:

National Income, Expenditure and

Product. Cat No. 5206.0 Canberra,

Australian Bureau of Statistics.

• Australian Chamber of Commerce and

Industry. (ACCI). (2004). ACCI

Submission–2005 Safety Net Review.

Canberra, ACCI. Viewed: 10th August

2009,

http://www.acci.asn.au/text_files/submissio

ns/2005/March%2005%20NWC%20Subn%2

0(4)%20‐%20Award%20Environment.pdf

• Australian Institute of Health and Welfare

(AIHW). (2008). AIHW Nursing and

midwifery labour force 2005 Canberra,

AIHW. Viewed: 5th August 2009,

http://www.aihw.gov.au/publications/in

dex.cfm/title/10475

• Baird, M. Cooper, R. Oliver, D. (2007).

Down and Out with Work Choices: The

Impact of Work Choices on the Work and

Lives of Women in Low Paid

Employment. Sydney, University of

Sydney. Viewed: 1st August 2009,

http://wwrg.econ.usyd.edu.au/Events/2

007/Women_and_Work_Choices_Repor

t_2007.pdf

• Office of the Employment Advocate

(OEA). (2006). Answer to Question

W210‐07. Canberra: Senate,

Employment, Workplace Relations and

Education Legislation Committee.

• Organisation for Economic Cooperation

and Development (OECD). (2004).

Employment protection regulation and

labour market performance. Paris, OECD.

Viewed: 11th August 2009,

http://www.oecd.org/dataoecd/36/9/43

116624.pdf



Economic Outlook No. 82. Paris, OECD.



Legislation, collective bargaining and

enforcement: Updating the OECD

employment protection indicators. Paris,

OECD. Viewed: 11th August 2009,

http://www.oecd.org/dataoecd/36/9/43

116624.pdf

• Peetz, D. (2007). Assessing the impact of

WorkChoices one year on. Melbourne,

Industrial Relations Victoria. Viewed: 5th

August 2009,

http://www.business.vic.gov.au/busvicw

r/_assets/main/lib60104/4827wcanniver

saryreportweb.pdf

• Workplace Express. (2006). ‘Harper

downplays impact of minimum wage

rise, looks for jobs growth’ Workplace

Express. 23rd November 2006.

Helping our Economic Students to Write Extended Responses

Helping our Economics Students to

Write Extended Responses by Lyn Kirkby, Head of Professional Learning Monte Sant’ Angelo Mercy College

s teachers, we have always carefully considered approaches to improving the capacity of our students to undertake

extended writing. In Economics, student responses have, at times, focused on quantity at the expense of quality, with planning and structure sometimes a casualty.

The new Board of Studies word guide for extended responses in the HSC (NSW Board of Studies, 2009) provides a reason for pause and reflection. Whilst we have all read about the approximate 800 word guide for extended responses, what will this mean for the students and how will we assist them in writing so much material more concisely? How can we assist our weaker students to write more so that they can sustain an argument that lasts for 6 pages?

What the Board tells us is

The Economics HSC examination specifications now give guidance on the expected length of extended responses, stated in terms of the approximate number of pages of an examination writing booklet (based on average‐sized handwriting) and/or an approximate number of words. Students may write less than or more than what is expected and they will not be penalised. Their responses will be marked on the structure and

organisation of responses, the quality of the arguments and explanations, and the relevance of the content to the question asked. (New South Wales Government, 2009)Emphasis added.

In other words, markers in Economics will be looking for the same things that they have always looked for.

What of a process to assist our students in their writing skills?

Students new to Year 11 come with a wide range of skill sets. As students in the junior years, they may have lacked the motivation to develop study and writing skills and therefore struggle with the assumed academic writing style in Economics and other subjects. We therefore need to consider approaches to enhance student confidence in their writing and improve their chances of success. This will not only improve their self esteem and their results but also our retention rates between Years 11 and 12.

Here are some suggested strategies to support your students. Some of these are linked to research undertaken into successful HSC Teaching (Ayres, Dinham, & Sawyer, 1999)

1. Early in Year 11, design a learning episode for your students where they discuss the requirements of extended response

A

writing in Economics. It is not the same as for other subjects and we need to articulate our peculiar ways.

• Provide a range of extended response questions for Year 11 Topic 1. With your students in pairs or small groups, allocate them each a question and ask them to write a plan for the response

• Provide time for the groups to feedback to the class. Discuss some of the common features in their plans. Some prompting is needed as you walk around the room providing support so that eventually you draw out all of the key features:

i. Introduction and conclusion ii. Use of data iii. Application of theory iv. Integrating diagrams v. Structuring the body vi. Requirements of the marking

guidelines 2. Provide a handout to guide students

through the main requirements of writing an Economics extended response…and go through it to discuss in more detail our expectations with their extended writing

3. Provide an extended response question and ask your students to write and submit an introduction for feedback. This allows you to provide immediate feedback to the students and to give them a sense of confidence before they go on. You can also see who is really off the track.

4. Provide an extended response question for all of the students to answer. Give them the question and the marking criteria and ask them to write a plan. This can be a think pair share task, where students write a plan individually, then share with their neighbour before a full class discussion and creation of a shared plan on the board

• Ask the students to write their own introduction. Whilst they do this, so that they can see your writing by using the board, an overhead projector, or a computer and data projector, begin modelling an introduction. Without comment, write it in front of them to show them what to do. Discuss your introduction with them and allow them to copy it if they wish. Use their ideas to edit it if that is appropriate. This shows them that there is more than one way. This gives them a confident start to their first economics extended response. Write the next paragraph too if you still sense anxiety.

• Ask them to complete the extended response at home and submit for marking by a due date.

• Assess their work and provide as much feedback as you can. Be specific about how they can improve, what they could add/delete/express differently. Provide suggestions for changes to structure, content and expression.

• You might choose to go through some of these processes more than once, depending on how your students go.

Next comes time for them to sit an assessment task requiring a timed extended response under examination conditions. A whole new challenge. To assist their preparation, you can help to build confidence by setting a time when students can undertake a practice timed extended response in class. Allow them to be open book and provide them with the general area that will be assessed in advance, but not the exact question. This allows them to select useful materials without pre‐writing the response.

• In silence, the students write the extended response as in a test, but open book. This takes away the

pressure to learn the detail and allows them to focus on the writing and the structure.

• Collect and assess the responses, providing specific feedback to assist in timed responses, such as aspects to include and to exclude, better ways to express their ideas, theory and diagrams that they could include, things that they have done well.

• Provide general feedback to the class about the group’s learning. E.g. “One of the students in the class wrote the first part really well but ran out of time. How can you avoid that in an exam situation?”

Having worked through this process, students in Year 11 Economics are much more confident about their extended writing. They come to their first timed extended response under test conditions with a sense of knowing what is required and an experience of the limitations of time constraints. Their results are superior as a consequence, their confidence improves and examination marks are higher going forward. As we work with our students to write responses with the 800 word recommendation, such strategies become more critical.

Also attached to this brief article is a copy of the ‘Structuring an extended response in Economics’

that I work through with my students in Year 11. It can be adapted for use with Year 12 students. You might find it useful. I have also included a scaffolded extended response task that I have used in Preliminary Topic 1.

In the end, the 800 word guide may mean little for our students. Some will struggle to write 800 words and others will write twice that. It is important, however, that each of our students be given specific support in how to write an extended response in Economics. For most of them, they will not pick this up easily without explicit and ongoing guidance and feedback from us as their teachers.

References:

Ayres, P., Dinham, S., & Sawyer, W. (1999). Successful Teaching in the NSW Higher School Certificate. Sydney: NSW Department of Education and Training.

New South Wales Government. (2009). Information regarding the HSC examination in Economics from 2010. Retrieved March 9, 2010, from NSW Board of Studies: http://www.boardofstudies.nsw.edu.au/syllabus_hsc/economics‐2010‐exam‐info.html

NSW Board of Studies. (2009). Retrieved May 20, 2009, from NSW Board of Sudies: http://www.boardofstudies.nsw.edu.au/syllabus_hsc/exam‐changes/courses.html

Structuring an Extended Response in Economics

Structuring an Extended Response in Economics by Lyn Kirkby, Head of Proressional Learning Monte Sant’ Angelo Mercy College

xtended responses in Economics can be best described as reports. They do not require all of the conventions that you

need in an English or History essay. Despite this, it is critical that sentences and paragraphs are carefully constructed and that you follow the specific requirements of economics writing.

The best responses have ‘density and intensity’…they contain lots of information and get right to the point. Language needs to be straightforward. There needs to be a significant use of economic terms and concepts woven throughout your response. No padding. The approximate word length guide is 800 words, so you really need to keep it tight.

What is a paragraph?

A paragraph is the development of one idea. Each paragraph should begin with a topic sentence that states the idea for the paragraph. This idea should then be developed as the paragraph builds. That is, the paragraph will generally state the key idea, explain it, and give an example, perhaps current data, a trend or an application of theory.

The way you paragraph should assist the reader as they move through your response. The topic sentences should flow logically, based on syllabus structures and your plan.

Extended responses in Economics are of two types:

1. Non‐stimulus

2. Stimulus.

In both types of questions, you are given a single question or statement to respond to. Questions do not necessarily contain sub‐parts, nor do they necessarily imply a structure. It is therefore critical that you consider how to structure responses before you enter the exam room.

Each question will have at its beginning a rubric. This will indicate what the examiner is looking for in reading your response. You should not need to waste exam time reading these.

Note that these rubrics are under review and likely to be changed. Keep an eye on http://www.boardofstudies.nsw.edu.au/syllabus_hsc/economics.html for updates as they come to hand.

E

For the stimulus questions, the rubric currently says:

________________________________________

In your answer you will be assessed on how well you:

• Use your knowledge and the economic information provided

• Apply economic terms, concepts, relationships and theory

• Present a sustained, logical and well‐structured answer to the question

________________________________________

For the non‐stimulus questions, the rubric currently says:

________________________________________


• Use economic data • Apply economic terms, concepts,

relationships and theory • Present a sustained, logical and well‐

structured answer to the question ________________________________________

So how do you start?

It is often best to begin with a definition. Select the key term/concept from the question. Accurately and thoroughly define it to begin your response. This may take more than one sentence! It is a good idea to then develop the definition with a discussion that may include:

• Recent trends, • Statistics, • Importance (e.g. to the economy, the

government…), • Components (e.g. circular flow of income,

phases of the business cycle…) This development may be in a second paragraph, or in the introduction.

What next?

Following that introduction, you need to structure the body of your response.

The question may imply a response.

e.g. ‘Discuss the effects…’

‘Assess the consequences…’

‘Critically analyse the different methods…’

‘Evaluate the impacts of…’

‘Explain the changes in…’

‘Describe the recent trends…’

For all of these question types, the paragraphs can be arranged around your list of effects, consequences, methods, impacts, changes, trends…

You can put more analysis/evaluation into your responses, however, by considering the following:

1. A short run vs. long run analysis.

2. Positive and negative outcomes.

3. Organise your ideas around how the outcomes will affect individuals, firms, institutions, government, and the economy.

4. Domestic economy compared with global economy.

It is also really important to know your syllabus well, because dot points in the various syllabus sections give you a structure for responses.

Examples of these include:

Topic 1:

• economic factors underlying decision making • the circular flow of income • similarities and differences between

economies

Topic 2:

• factors influencing individual consumer choice • goals of the firm • impact of investment and technological

change on a firm Topic 3:

• factors affecting demand and supply • factors affecting price elasticity of demand • market structures Topic 4:

• factors affecting the demand for and supply of labour

• differences in incomes from work • labour market trends Topic 5:

• role and functions of financial institutions Topic 6:

• limitations of the operation of the free market

• economic functions of the Australian government

• influences on government policies in Australia

If you look carefully, you might find more such areas.

A note on diagrams

Your response will often require the inclusion of diagrams. There are a number of key considerations here:

• Always include a diagram if you can and it is relevant

• All diagrams require a number and a title e.g. Fig 1 The Circular Flow of Income

• Diagrams need to be large enough for full annotation on the axes and the diagram itself

• Use pencil that can be erased • Use a ruler • Be accurate

• All diagrams must be referred to directly within the text of the response. E. g. “As figure 1 shows…”

• Include the diagram at the point of discussion around the concept…not at the end of the response or the section

Your final word…

It is usually important to include a conclusion. Your conclusion must directly address the question asked. It should not, however, be the only time in which you address the directive term as you attempt to compare and contrast only at the end, for example.

You need to refocus the marker on the points you have used to respond to the question, and ensure that your approach to the question is clear.

However, if you feel that your response has come to a natural end, there is no need to add a conclusion. Questions are often framed in this way.

…and a note on planning

It is really important to think about how you can structure a response BEFORE YOU BEGIN. This may be a useful way to spend some of your reading time. If you are not sure about how to write the plan, see your teacher for assistance. You can use mind maps, spider diagrams, or lists, but you need a consistent method that you have practised many times before you are sitting in the HSC exam.

When your plan is done, don’t cross it out. Do the plan either in the inside cover of the booklet, or on the first page. The marker may look at it. It gives them an insight into your thinking. Should you run out of time, you may get some credit from having shown your whole plan, even though you didn’t get to complete the response.

Economies – their similarities & differences

Economies - their similarities and differences 1. Use your textbook and the information supplied on the economy of China to complete the

following table:

Note to teacher: it is worth a discussion about the meaning of each of the criteria for comparison and contrast before sending the students off to do the task. This scaffold can also be converted into a wiki so that the students can work in groups on the background work.

Australia China Economic Growth

Quality of life

Employment and unemployment

Distribution of income

Environmental sustainability

Role of government

• Health care • Education • Social welfare

Other

Note to teacher: It is also a good activity to ask the students to undertake a ‘speed dating’ activity to complete the grid above if they have done it individually. Split the class in half. One half sits at their desk and the other half walk around the room to share information with each other. Give them a couple of minutes at each desk and then move them on. You can then swap the groups over so that each student feels that s/he has all the required information at the start.

2. Consider this extended response question:

Note to teacher: The following question allows students to see that their content from the scaffold provides a structure for the response. They have an opportunity to write an extended response without pressure of not knowing what to include.


• Use economic data • Apply economic terms, concepts, relationships and theory • Present a sustained, logical and well‐structured answer to the question Examine the similarities and differences between Australia and an Asian economy you have studied

Marking Guidelines

• Demonstrates a clear and concise understanding of the similarities and differences between Australia and an Asian economy

• Integrates appropriate economic terms, relevant concepts, relationships and theory.

• Synthesises economic data and other information to develop a sustained, logical and well‐structured response.

17‐20

• Demonstrates a clear understanding of the similarities and differences between Australia and an Asian economy

• Consistently uses economic terms, relevant concepts, relationships and theory.

• Uses economic data and other information to develop a sustained, logical and well‐structured response.

13‐16

• Describes the similarities and differences between Australia and an Asian economy

• Uses appropriate economic terms, concepts and relationships. • Uses some economic data and other information to develop a

coherent response.

9‐12

• Outlines some of the similarities and differences between Australia and an Asian economy equilibrium price and quantity in a free market

• Uses some appropriate economic terms, concepts and relationships.

• Uses some economic information to develop a generalised response.

5‐8

• Mentions aspects of the Australia and/or an Asian economy • Uses some economic terms and/or concepts. • Presents a limited response.

1‐4

Answers could include:

• Economic growth: meaning and levels in Australia and China 1. Variation in the % change 2. Reasons for the variation 3. Trends and reasons for them

• Quality of life: Meaning and indicators, such as the HDI 1. Inclusion of additional indicators of quality of life 2. Contrasts and reasons for them 3. Improvements and areas of similarity

• Employment and unemployment 1. Patterns of employment by sector and changes in China due to the emerging status of the

economy...becoming more similar to Australia over time 2. Unemployment: rates, measurement and reliability of data 3. Pattern

• Distribution of income

1. Measure of the gini coefficient and what it means 2. Variations in China 3. Variations in China 4. Similarities in patters and differences

• Environmental sustainability 1. Meaning of envt sustainability 2. Reasons for sustainability issues in each economy 3. Specific environmental threats, such as climate change, carbon emissions issues

• Role of government: 1. Govt policy in each of the nominated areas 2. Areas for improvement 3. Similarities and difference and reasons for them

1. Health 2. Education 3. Social welfare

Other points to remember:

• A paragraph...the development of ONE idea. Sometimes you need to break the idea up into more than one to keep the paragraphs of a sensible length

• Include current data where you can to draw comparisons and contrasts and support your assertions

• This type of extended response MUST have a conclusion to draw it together and address the question

NSW PYOE competition 2009

NSW PYOE Competition 2009 Division 1 Placegetters – NSW Judges’ comments

Annette Davies & Alan Hearle for Michael Hanrahan & John Watson 18 September 2009 Winner Division 1

• Business Plan name: Find‐Me‐A‐Phone.com • Entrant’s Name: Alex Lips • Entrant’s School: Moriah College • Entrant’s Teacher: Vivienne Mohay • Age of Entrant: DOB 1/8/1993 = 16 years old • Judges’ Comments:

o This winning entry (and the Plan that took 2nd Place in Division 1) were both FAR AHEAD of all the other 9 Finalists.

o This means that they both definitely deserve to win a place in Division 1. o There actually was not much difference between the standard of First & Second place.

2nd Place Division 1

• Business Plan name: Toothmatic • Entrant’s Name: Lauren Rabie • Entrant’s School: Masada College • Entrant’s Teacher: R. Grana • Judges’ Comments:

o This entry was also very good – both the top 2 stood out from the crowd 3rd Place Division 1

• Business Plan name: Dee‐Safety Ltd • Entrant’s Name: Amanda To • Entrant’s School: Strathfield Girls High School • Entrant’s Teacher: Ms Carpenter • Judges’ Comments:

o This entry was very good/comprehensive (still well ahead of the remaining 8 unsuccessful Finalists), but not up to the standard of the first 2 above.

Judges Overall Comments

• Overall , apart from the 3 above, the remaining 8 entries were not of as high a standard as in previous years.

• One problem – 1 x Business Plan was missing a CASHFLOW ANALYSIS and probably should have

been disqualified before it got to the 2 NSW Judges. The Cashflow Statement is allocated a high percentage of the possible marks by the 2 Judges and, for this reason, this Plan did not score very highly.

Winners 2009 PYOE Competition

Division Student(s) School Teacher Business Plan Name

First Place Division 3

Tom Mulready

George Kent

The Kings School

Fabian Mandrini

Shell Cove Retirement Resort

Second Place Division 3

Elizabeth Lam

Christina Lam

Elaine Kuan

MLC School Lee Coleman Skooligans

Third Place Division 3

Joanne Tan

Sally Zhou

Subeta Vimalarajah

MLC School Lee Coleman Trames de Fantaisie


Alex Lips Moriah College Vivienne Mohay

Find‐Me‐A‐Phone .com


Lauren Raby Masada College R Grana Toothmatic


Amanda To Strathfield Girls High

Ms Carpenter

Dee‐Safety Ltd


Winson Yuan Kingsgrove North High School

Dianne Tsitsos

Join Us in Changing Everyone


Camilla Banasiak Loretto Normahurst

Ms Deehan “The Porcelain”


Shaun Serafin St Francis Xavier’s College

Peny Anicich Top Marks Tutoring

Changes to School Assessment

Have you made these changes to your

School Assessment? Changes to Preliminary and HSC Internal Assessment for Business Studies and Economics

Compiled by Anne Layman courtesy of information provided on the NSW Board of Studies website.

n June 2009, the NSW Board of Studies announced the following changes to the Business Studies and Economics Internal Assessment for the Preliminary and HSC courses commencing in 2010.

Assessment components and weightings for both Preliminary and HSC courses in Economics and Business Studies are now:

Component Weighting

Component Weighting

Knowledge and understanding of course content 40

Stimulus‐based skills 20

Inquiry and research 20

Communication of business information, ideas and issues in appropriate forms

20

For the Preliminary course the components and weightings are suggested, however for the HSC course they are mandatory.

No more than 50% weighting may be allocated to tests and examinations.

A sample assessment schedule is provided by the Board of Studies for each subject.

I

HSC assessment grid for Business Studies Schools may use this assessment grid without modification, or change it to suit their particular needs, being mindful that the weightings for each of the assessment components in the HSC course are mandatory. Business Studies HSC sample assessment schedule

Component Task 1 Task 2 Task 3 Task 4 Weighting

In class test (objective response & short answer questions

Business research &related in class extended response

Business case studies: research, interpretation, application & communication

Trial HSC

End of term 4 Late term 1 Mid term 2 Term 3

H1.2, H5.1, H5.3

H2.1, H3.1, H3.2, H3.3, H4.1, H4.2, H5.3, H5.4

H1.2, H3.3, H4.1, H4.2, H5.1, H5.2, H5.3

H1.1, H1.2, H2.1, H2.2, H3.1, H3.2, H3.3, H4.1, H4.2, H5.3, H5.4

Knowledge & understanding of course content

5 10 10 15 40

Stimulus based skills 10 10 20

Inquiry & research 10 10 20

Communication of business information, ideas & issues in appropriate forms

5 5 5 5 20

Marks 20 25 25 30 100

Economics Preliminary course sample assessment schedule

Component Task 1 Task 2 Task 3 Weighting

Research & report: Operation of the economy & the role of business

Research based in class extended response: The nature & role of markets in the Australian economy.

End of course examination.

Late Term1 Late Term 2 Late Term 3

P1, P2, P5, P7, P10, P12

P1, P3, P5, P7, P8, P9, P10, P12

P1, P2, P3, P4, P5, P6, P7, P8, P10, P11


10 5 25 40

Stimulus based skills

10 10 20



10 5 5 20

Marks 30 30 40 100

Economics HSC sample assessment schedule

Component Task 1 Task 2 Task 3 Task 4 Weighting

In class test (objective response & short answer questions

Research &related in class extended response: Global economy & economic issues

Economic policies & management: Research, interpretation, application & communication

Trial HSC examination

End of term 4 Late term 1 Mid term 2 Term 3

H, H2, H3, H4, H7, H10, H11

H1, H3, H4, H7, H10, H11

H1, H2, H4, H5, H6, 7, H8, H10

H1, H2, H3, H4, H5, H6, H7, H8, H10, H11


5 10 10 15 40

Stimulus based skills 10 10 20



5 5 5 5 20

Marks 20 25 25 30 100

If your school has not adopted the new Components and weightings you should contact your BOSLO immediately.

Resources

ResourcesCompiled by: Doug Cave, President, Qld Economics Teachers' Assoc. Inc.

1. FROM THE ABS:

5671.0 Lending Finance, Australia, Sep 2009

http://www.abs.gov.au/ausstats/[email protected]/mf/5671.0?OpenDocument

5609.0 Housing Finance, Australia, Sep 2009


5368.0 International Trade in Goods and Services, Australia, Sep 2009


8301.0.55.003 Manufacturing Production, Monthly, Sep 2009

http://www.abs.gov.au/ausstats/[email protected]/mf/8301.0.55.003?OpenDocument

8501.0 Retail Trade, Australia, Sep 2009


8731.0 Building Approvals, Australia, Sep 2009


6291.0.55.001 Labour Force, Australia, Detailed ‐ Electronic Delivery, Oct 2009


6302.0 Average Weekly Earnings, Australia, Aug 2009


5209.0.55.001 Australian National Accounts: Input‐Output Tables ‐ Electronic Publication, 2005‐06 Final


5439.0 International Merchandise Imports, Australia, Oct 2009


6345.0 Labour Price Index, Australia, Sep 2009


6202.0 Labour Force, Australia, Oct 2009


2. FROM THE ACTU

JOB FEARS AND HIGHER WORKLOADS HAVE LED TO AN EPIDEMIC OF UNPAID OVERTIME, SAY UNIONS ‐ ACTU

Published: 18/11/2009

An epidemic of unpaid overtime is costing hundreds of thousands of Australians time with their families and has worsened during the economic downturn, say unions.

Job security fears have put pressure on people to work extra hours for nothing, while others have felt they have no choice because of increased workloads as businesses have tightened belts during the GFC, says the ACTU.

ACTU Secretary Jeff Lawrence said a new report by The Australia Institute, Something for Nothing, busted the myth that Australians were not hard‐workers.

Australians already work among the longest hours in the western world, but the estimate of more than 2 billion hours of unpaid overtime each year was

astonishing, Mr Lawrence said. He said workers should receive payment for any overtime they do.

“Many workers will volunteer for overtime if they know they will be compensated for it, but this report reveals that employers are riding on the backs of workers who are doing extra hours for nothing,” Mr Lawrence said. “The pressure on workers to do more for less worsened under the former Coalition Government and WorkChoices, and no doubt has increased again since the onset of the economic downturn, with many workers afraid or uncertain about their future putting in unpaid overtime to keep their job. “Others have found their workloads increase unsustainably as their employer has cut staff during the downturn.

“Employees are legally entitled to refuse to work overtime for nothing, but the reality is that many workers believe they will either lose their job or be overlooked for promotion if they don’t.

“If the work demands are too much to complete in a normal working day, then employees should be paid for their extra hours, or their employer must hire more staff.”

The Australia Institute report found that each year, the average full‐time Australian worker does 266.6 hours of unpaid overtime, or an extra six‐and‐a‐half working weeks. This is the equivalent of 1.2 million full‐time jobs. The think tank estimates that through unpaid overtime, workers are forgoing a total of $72.2 billion in wages or 6% of

GDP. The ACTU is an official supporter of Go Home on Time Day on November 25.

Workers can sign up for an electronic leave pass at www.gohomeontimeday.org.au

View the article here

3. ON THE NCEE WEBSITE

You'll find the new lesson titled,

"The Credit Card Mystery," at:

http://www.econedlink.org/lessons/index.php?lesson=847&page=teacher&utm_source=newLessons&utm_medium=email&utm_campaign=lessons20091121

Credit Cards are a risky business these days, especially for students and those holding multiple cards. Interest rates on credit card balances have always been high relative to other rates, for several reasons. Despite this, there is still a demand for the “plastic money” that many people see as convenient and ideal with the increasingly technological world economy. This lesson explores many issues surrounding credit cards‐ from what to look for when selecting a card to what the government is doing to aid consumers.

Concepts you'll cover include Benefit, Choice, Consumers, Costs, Credit

As always, you'll find even more free lessons at http://www.econedlink.org/. Thank you for making 'EconEdLink.org' a part of your classroom.

4. ON THE RBA WEBSITE

An audio webcast and downloadable MP3 file of John Broadbent's speech to the Corporate Finance World Australia 2009 are available on the website via the link below. The webcast and MP3 file include the Q&A following Mr Broadbent's presentation.

http://www.rba.gov.au/Speeches/2009/index.html

The audio webcast and downloadable MP3 files for Philip Lowe's 9 November 2009 remarks and Ric Battellino's 6 November 2009 remarks are available on the website via the attached link. The webcast and MP3 files include the Q&A following each presentation.


A speech delivered by Mr John Broadbent to the Corporate Finance World Australia 2009 Conference in Sydney is available on the RBA website.

http://www.rba.gov.au/Speeches/2009/sp‐so‐101109.pdf

Remarks delivered by Dr Philip Lowe to the University of Western Australia’s ‘In the Zone’ Conference in Perth is available on the RBA website.

http://www.rba.gov.au/Speeches/2009/sp‐ag‐091109.pdf

Remarks delivered by Mr Ric Battellino to the 3rd Annual Australian Parliamentary Conference in Perth is available on the RBA website.

http://www.rba.gov.au/Speeches/2009/sp‐dg‐061109.pdf

An audio webcast and downloadable MP3 file of Glenn Stevens' speech to the 2009 Economic and Social Outlook Conference Dinner hosted by The Melbourne Institute and The Australian, in Melbourne on 5 November 2009 are available on the website via the attached link. The webcast and MP3 file include the Q&A following Mr Stevens' presentation.


The Reserve Bank of Australia has released the November 2009 issue of the Chart Pack.

You can view the Chart Pack at:

http://www.rba.gov.au/ChartPack/index.html

Remarks delivered by Dr Guy Debelle to the Minter Ellison Financial Services Industry Forum in Sydney is available on the RBA website.

http://www.rba.gov.au/Speeches/2009/sp‐ag‐191109.html

An audio webcast and downloadable MP3 file of Guy Debelle's 18 November 2009 speech to the Australian Securitisation Conference 2009 are available on the website via the attached link. The webcast and MP3 file include the Q&A following Dr Debelle's presentation.

The Reserve Bank of Australia has released the November 2009 issue of the Bulletin today.

Bulletin Articles: Australian Capital Flows and the Financial Crisis PDF ‐ http://www.rba.gov.au/PublicationsAndResearch/Bulletin/bu‐nov09/pdf/bu‐1109‐1.pdf

IMF Initiatives to Bolster Funding and Liquidity PDF ‐ http://www.rba.gov.au/PublicationsAndResearch/Bulletin/bu‐nov09/pdf/bu‐1109‐2.pdf

The Road to Prosperity PDF ‐ http://www.rba.gov.au/PublicationsAndResearch/Bulletin/bu‐nov09/pdf/bu‐1109‐3.pdf

The Conduct of Monetary Policy in Crisis and Recovery HTML ‐ http://www.rba.gov.au/Speeches/2009/sp‐gov‐151009.html

PDF ‐ http://www.rba.gov.au/PublicationsAndResearch/Bulletin/bu‐nov09/pdf/bu‐1109‐4.pdf

The Evolving Financial Situation PDF ‐ http://www.rba.gov.au/PublicationsAndResearch/Bulletin/bu‐nov09/pdf/bu‐1109‐5.pdf

The Growth of Asia and Some Implications for Australia HTML ‐ http://www.rba.gov.au/Speeches/2009/sp‐ag‐191009.html

PDF ‐ http://www.rba.gov.au/PublicationsAndResearch/Bulletin/bu‐nov09/pdf/bu‐1109‐6.pdf

Bulletin Statistical Tables: http://www.rba.gov.au/Statistics/Bulletin/index.html

A speech delivered by Dr Guy Debelle to the Australian Securitisation Conference 2009 in Sydney is available on the RBA website.

http://www.rba.gov.au/Speeches/2009/sp‐ag‐181109.pdf

5. ON THE TUTOR2U WEBSITE

Over at the GCSE Economics blog, Innes and Amy have been busy adding some super new resources; highlights include:

Mnemonic Monday – Types of Unemployment

http://www.tutor2u.net/blog/index.php/gcse‐economics/comments/mnemonic‐monday‐types‐of‐unemployment/

Super Starter Sunday ‐ Unemployment Special http://www.tutor2u.net/blog/index.php/gcse‐economics/comments/super‐starter‐sunday‐unemployment‐special/

Guardian Guide to Global GDP

http://www.tutor2u.net/blog/index.php/gcse‐economics/comments/fantastic‐interactive‐guide‐economic‐growth/

Beat the Teacher ‐ Supply (starter activity)

http://www.tutor2u.net/blog/index.php/gcse‐economics/comments/super‐starter‐sunday‐beat‐the‐teacher‐3/

...there are two new editions of our Weekly Economics Quiz too:

http://www.tutor2u.net/blog/index.php/economics/C495/

...thanks to all of you who have recommended the recent Guardian series of Recession Cartoons:

http://www.tutor2u.net/blog/index.php/economics/comments/the‐recession‐in‐cartoons/

We've also uploaded a new versions of our revision presentation on:

Price Discrimination:

http://www.tutor2u.net/blog/index.php/economics/comments/price‐discrimination‐teacher‐presentation/

Investment:

http://www.tutor2u.net/blog/index.php/economics/comments/investment‐teacher‐presentation/

and Unemployment in the UK:

http://www.tutor2u.net/blog/index.php/economics/comments/unemployment‐the‐uk‐labour‐market‐teacher‐presentation/

Lots of new teaching and revision materials have been added to the Economics blogs in the last few days ‐ here are some links ‐ hopefully there is something you and your colleagues and students will find useful:

New Revision Presentations

A good selection of topics added ‐ and we've also provided a pdf handout download link for each one:

Causes and effects of Inflation

http://www.tutor2u.net/blog/index.php/economics/comments/inflation‐causes‐and‐effects/

Measurement of inflation

http://www.tutor2u.net/blog/index.php/economics/comments/inflation‐measurement/

Economics of saving

http://www.tutor2u.net/blog/index.php/economics/comments/economics‐of‐saving‐teacher‐presentation/

Long run aggregate supply

http://www.tutor2u.net/blog/index.php/economics/comments/long‐run‐aggregate‐supply‐teacher‐presentation/

Short run aggregate supply

http://www.tutor2u.net/blog/index.php/economics/comments/short‐run‐aggregate‐supply‐teacher‐presentation/

Other recommended reading:

Penny Brooks has found this great example of an industry that can suddenly become profitable and viable after a rise in commodity prices:

http://www.tutor2u.net/blog/index.php/economics/comments/gold‐price‐brings‐prospectors‐to‐the‐highlands/

Mo Tanweer looks at how the financial markets respond to Mervyn King's words:

http://www.tutor2u.net/blog/index.php/economics/comments/the‐power‐of‐words/

Penny Brooks and Amy Chapman pick up on a seasonal economic story ‐ the potential excess demand for popular toys at Christmas 2009

http://www.tutor2u.net/blog/index.php/economics/comments/toy‐story/

http://www.tutor2u.net/blog/index.php/gcse‐economics/comments/toy‐shortage‐at‐christmas/

Jim Riley picks out a fascinating interactive resource from the New York Times which allows students to dig deeper into the US unemployment data:

http://www.tutor2u.net/blog/index.php/economics/comments/us‐unemployment‐breaking‐down‐the‐data/

Amy Chapman has found some great resources about the BA/Iberia merger which can be used to teach economies of scale:

http://www.tutor2u.net/blog/index.php/gcse‐economics/comments/ba‐and‐iberia‐economies‐of‐scale/

http://www.tutor2u.net/blog/index.ph

p/gcse‐economics/comments/great‐video‐on‐ba‐and‐iberia‐merger/

Innes Robinson has found a super resource on the BBC which helps illustrate technological unemployment

http://www.tutor2u.net/blog/index.php/gcse‐economics/comments/on‐this‐day40‐years‐ago‐technological‐unemployment/

6. FROM THE WORLD BANK

China Quarterly Update:

Growth is Likely to Remain Robust

The economic data for the third quarter of 2009, released almost two weeks ago, confirmed an impressive recovery in China’s economy, supported by very large fiscal and monetary stimulus. Real GDP growth rose to 8.9 percent year‐on‐year in the third quarter. This is clearly good news, for China and many other countries whose economies are benefiting at the moment from strong demand from China. As the Bank’s economic team for China argues in more detail in the new China Quarterly Update, it also means that it’s time to consider a less expansionary macroeconomic policy stance and focus more on the structural reforms needed to rebalance the economy and get more growth out of the domestic economy on a sustained basis.

Read more…

Bank Data

Now in Google Search Results

How long do people live on average around the world? Who has more CO2 emissions, the U.S. or China? Which country consumes the most electricity per capita? A new Bank relationship with search giant Google is bringing key development data like this directly to web users, making data easier to find, visualize, customize, and share than ever before.

Read more…

7. VIRTUAL FIELD TRIPS AND WEBQUESTS

http://marynabadenhorst.globalteacher.org.au/virtual‐field‐trips/

A virtual field trip takes students on a tour of a location using a series of websites that have been linked together, creating a guided experience. It includes making a passport, virtual postcards, travel log, online 'hide and seek', online scrapbook, expenses budget etc. Students choose a country they would like to visit. Projects could tie in with language learning.

8. OPEN ED (CREATIVE COMMONS)

http://opened.creativecommons.org/

The OpenEd Community site is for anyone interested in open education. It provides information, organisation contacts, reports, guidance on how to license educational work etc.

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