E.R.P. #1: People choose, and individual choices are the source of social outcomes.
E.R.P. #2: Choices impose costs; people receive benefits and incur costs when they make decisions.
E.R.P. #3: People respond to incentives in predictable ways.
E.R.P. #4: Institutions are the "rules of the game" that influence choices.
E.R.P. #5: Understanding based on knowledge and evidence imparts value to opinions.
Standard 1: Productive resources are limited. Therefore, people cannot have all the goods and services they want; as a result, they must choose some things and give up others.
Standard 2: Effective decision making requires comparing the additional costs of alternatives with the additional benefits. Most choices involve doing a little more or a little less of something; few choices are all-or-nothing decisions.
Standard 3: Different methods can be used to allocate goods and services. People, acting individually or collectively through government, must choose which methods to use to allocate different kinds of goods and services.
Standard 4: People respond predictably to positive and negative incentives.
Standard 5: Voluntary exchange occurs only when all participating parties expect to gain. This is true for trade among individuals or organizations within a nation, and among individuals or organizations in different nations.
Standard 6: When individuals, regions, and nations specialize in what they can produce at the lowest cost and then trade with others, both production and consumption increase.
Standard 7: Markets exist when buyers and sellers interact. This interaction determines market prices and thereby allocates scarce goods and services.
Standard 8: Prices send signals and provide incentives to buyers and sellers. When supply or demand changes, market prices adjust, affecting incentives.
Standard 9: Competition among sellers lowers costs and prices, and encourages producers to produce more of what consumers are willing and able to buy. Competition among buyers increases prices and allocates goods and services to those people who are willing and able to pay the most for them.
Standard 10: Institutions evolve in market economies to help individuals and groups accomplish their goals. Banks, labor unions, corporations, legal systems, and not-for-profit organizations are examples of important institutions. A different kind of institution, clearly defined and enforced property rights, is essential to a market economy.
Standard 11: Money makes it easier to trade, borrow, save, invest, and compare the value of goods and services.
Standard 12: Interest rates, adjusted for inflation, rise and fall to balance the amount saved with the amount borrowed, thus affecting the allocation of scarce resources between present and future uses.
Standard 13: Income for most people is determined by the market value of the productive resources they sell. What workers earn depends, primarily, on the market value of what they produce and how productive they are.
Standard 14: Entrepreneurs are people who take the risks of organizing productive resources to make goods and services. Profit is an important incentive that leads entrepreneurs to accept the risks of business failure.
Standard 15: Investment in factories, machinery, new technology, and the health, education, and training of people can raise future standards of living.
Standard 16: There is an economic role for government to play in a market economy whenever the benefits of a government policy outweigh its costs. Governments often provide for national defense, address environmental concerns, define and protect property rights, and attempt to make markets more competitive. Most government policies also redistribute income.
Standard 17: Costs of government policies sometimes exceed benefits. This may occur because of incentives facing voters, government officials, and government employees, because of actions by special interest groups that can impose costs on the general public, or because social goals other than economic efficiency are being pursued.
Standard 18: A nation's overall levels of income, employment, and prices are determined by the interaction of spending and production decisions made by all households, firms, government agencies, and others in the economy.
Standard 19: Unemployment imposes costs on individuals and nations. Unexpected inflation imposes costs on many people and benefits some others because it arbitrarily redistributes purchasing power. By creating uncertainty about future prices, inflation can reduce the rate of growth of national living standards.
Standard 20: Federal government budgetary policy and the Federal Reserve System's monetary policy influence the overall levels of employment, output, and prices.
Comparative characteristics of societies in the Americas, Western Europe, and Western Africa that increasingly interacted after 1450
How early European exploration and colonization resulted in cultural and ecological interactions among previously unconnected peoples
Why the Americas attracted Europeans, why they brought enslaved Africans to their colonies, and how Europeans struggled for control of North America and the Caribbean
How political, religious, and social institutions emerged in the English colonies
How the values and institutions of European economic life took root in the colonies, and how slavery reshaped European and African life in the America
The causes of the American Revolution, the ideas and interests involved in forging the revolutionary movement, and the reasons for the American victory
The impact of the American Revolution on politics, economy, and society
The institutions and practices of government created during the Revolution and how they were revised between 1787 and 1815 to create the foundation of the American political system based on the U.S. Constitution and the Bill of Rights
United States territorial expansion between 1801 & 1861, & how it affected relations with external powers & Native Americans
How the industrial revolution, increasing immigration, the rapid expansion of slavery, and the westward movement changed the lives of Americans and led toward regional tensions
The extension, restriction, and reorganization of political democracy after 1800
The sources and character of cultural, religious, and social reform movements in the antebellum period
The causes of the Civil War
The course and character of the Civil War and its effects on the American people
How various reconstruction plans succeeded or failed
How the rise of corporations, heavy industry, & mechanized farming transformed the American people
Massive immigration after 1870 and how new social patterns, conflicts, and ideas of national unity developed amid growing cultural diversity
The rise of the American labor movement & how political issues reflected social & economic changes
Federal Indian policy & US foreign policy after Civil War
How Progressives and others addressed problems of industrial capitalism, urbanization, and political corruption
The changing role of the United States in world affairs through World War I
How the United States changed from the end of World War I to the eve of the Great Depression
The causes of the Great Depression and how it affected American society
How the New Deal addressed the Great Depression, transformed American federalism, and initiated the welfare state
The causes and course of World War II, the character of the war at home and abroad, and its reshaping of the U.S. role in world affairs
The economic boom and social transformation of postwar United States
How the Cold War and conflicts in Korea and Vietnam influenced domestic and international politics
Domestic policies after World War II
The struggle for racial and gender equality and the extension of civil liberties
Recent developments in foreign and domestic politics
Economic, social, and cultural developments in contemporary United States