Republic of the Philippines

Department of Education
National Capital Region
DIVISION OF CITY SCHOOLS – MANILA
Manila Education Center Arroceros Forest Park
Antonio J. Villegas St. Ermita, Manila

Applied Economics
Contemporary Socio-Economic
Issues Facing the
Filipino Entrepreneurs

Source:https://www.carricka.land.com.au

Quarter 1 Week 6 Module 6

Learning Competency

 Analyze the effects of contemporary socio-economic

issues affecting the Filipino Entrepreneurs.
 Learning Module for Applied Economics

HOW TO USE THIS MODULE?

Before starting the module, I want you to set aside other task/s
that may disturb you while enjoying the lessons. Read the simple
instructions below to successfully enjoy the objectives of this kit. Have
fun!

Follow carefully all the contents and instructions indicated

in every page of this module.
Write on your notebook the concepts about the lessons.
Writing enhances learning that is important to develop
and keep in mind.
Perform all the provided activities in the module.
Let your facilitator/guardian assess your answers using the
answer key card.
Analyze conceptually the posttest and apply what you have
learned.
Enjoy studying!

PARTS OF THE MODULE

 Expectations - These are what you will be able to know after completing
the lessons in the module.
 Pre-test - This will measure your prior knowledge and the concepts to be
mastered throughout the lesson.
 Looking Back to your Lesson - This section will measure what learnings
and skills did you understand from the previous lesson.
 Brief Introduction- This section will give you an overview of the lesson.
 Activities - This is a set of activities you will perform with a partner.
 Remember - This section summarizes the concepts and applications of
the lessons.
 Check your Understanding - It will verify how you learned from the
lesson.
 Post-test - This will measure how much you have learned from the entire
module

2
 Learning Module for Applied Economics

LESSON
6
Contemporary Socio-Economic Issues
Facing the Filipino Entrepreneurs

EXPECTATIONS

At the end of the sessionꓹ the learner should be able to:

1. analyze the effects of socio-economic issues facing the Filipino Entrepreneurs;

2. perform environmental analysis to help identify and solve economic problems; and
3. develop skills in solving socio-economic issues that may harm the entrepreneurs and
the entire economy.

PRE-TEST

Have a good day! Before you equip yourselves with a new set of
knowledge, let us check your understanding about our next topic. Enjoy
answering!

Part I. Identification

Directions: Classify the following issues as to SOCIAL or ECONOMIC.

Write S if the issue is related to social and E if related to economic. Write your
answer on the space provided before each number.

_______1. Population size and growth rate

_______2. Exchange rate volatility
_______3. High Interest rates on loans
_______4. Inequality in wealth distribution
_______5. Unpredictable and extravagant lifestyles
_______6 .Health consciousness leading to unpredictable demands of products
_______7. Uncooperative attitude towards government’s policies
_______8. Negative attitude towards work
_______9. Price fluctuations
_______10. Government budget deficits
Great job! You have answered the first part of our activity.
You may now proceed to the second part.

3
 Learning Module for Applied Economics
Part II. Contemporary Issues Facing Filipino Entrepreneurs

Case Problem: For several months now, everyone has been regulated by the
Bayanihan Act as an effective measure to fight the issues caused by COVID 19.
There are protocols that everyone needs to comply while the community is in the
ECQ or GCQ or MCQ situation. In Manila, various economic issues and
problems contain everyone to live in a normal way.

Directions: Please accomplish the chart. This will help you easily understand
our next topic. Below are some of the perceived issues and problems by the
Filipino Entrepreneursꓹ nowadays. Classify them according to PEST.

POLITICAL ECONOMIC

SOCIAL TECHNOLOGY

1. irregularities on the implementation of the Bayanihan Act protocols 2.

alleged corruption by barangay officials 3. restricted foreign trade policy 4.
strict labor laws 5. tight environmental and resources laws 6. education
system, 7. poor infrastructure projects 8. inefficient health regulations 9.
death rate 10. issues on amelioration distribution 11. inadequate
information for safety measures 12. lifestyle barriers 13. limited local
workforce 14. slow research and development activity of reporting COVID
patients 15. limited technological facilities 16. high interest rate 17. poverty
rate 18. unavailable credit opportunities 19. unemployment trend 20. price
fluctuations (source: GMA 7

You have answered the second part of our activity. That’s great! You may now look back
at our last lessons so you can answer effortlessly our next activity.

4
 Learning Module for Applied Economics

LOOKING BACK TO YOUR LESSON

Last topicꓹ we discussed different market structures that characterize an

economy. Understanding these structures will help the entrepreneurs stay stable and
competitive. These include perfect competition, monopolistic competition, oligopoly,
and monopoly. Each structure has its own set of characteristics, which in turn affects
the decision making of firms and the profits they can make. In perfect competition, it is
assumed that: (1) all firms maximize profits (2) there is free entry and exit to the
market, (3) all firms sell completely identical (i.e., homogenous) goods, (4) there are no
consumer preferences. In monopolistic competition, it is assumed that: (1) all firms
maximize profits (2) there is free entry, and exit to the market (3) firms sell
differentiated products (4) consumers prefer one product over the other. The oligopoly
structure of the market assumes that: (1) firms maximize profits, (2) oligopolies can set
prices, (3) there are barriers to entry and exit in the market, (4) products may be
homogenous or differentiated, and (5) only a few large firms that dominate the market,
and finally, the following assumptions are made for monopolies: (1) the monopolist
maximizes profit, (2) monopolies can set the price, (3) high barriers to entry and exit, (4)
only one firm that dominates the entire market.
The market structures can make strategic management decisions in order to
address economic issues.
Let us check your retention on the knowledge you gained from last topic. Enjoy
answering the activities!

Part I. Matching Type

Directions: Match Set A (Market Structures) to Set B (Market Characteristics).
Choose your answer for each item from the table below. Write the letter on the
space provided for each number.

SET A (Market SET B (Market Characteristics)

Structures)
1.Perfect Competition
A. A. all firms in the industry sell or offer identical
goods or services
2. Monopolistic B. firms sell differentiated products
Competition
3. Oligopoly C. only a few large firms can dominate the market

4. Monopoly D. only one firm can dominate the entire market

Great job! You finished answering the questions! If you do not have
any questions, you may now proceed to the next activity.
Enjoy answering.

5
 Learning Module for Applied Economics

Part II. Identification: Market Structures

Directions. Read the questions carefully. Identify the type of market structure
for each item.
1) If Company XYZ competes with many firms in the industry but with
homogeneous product on their stores, what market structure does it enter?
_________________________________

2) If Company XYZ competes with few large firms in the industry but with
differentiated products on their stores, what market structure does it enter?
_________________________________

3) If there are several barriers on the entry and exit of firms in the industry
due to huge amount of capital needed, what market structure are they in?
________________________________

4) If Company ABC is the only provider of water supply in the locality, what
market structure does it join? ________________________________

5) ABM Supermarket has joined many and small marketers in the industry
with several competitors selling the same products. What market structure did
it join? ____________________________________

Great! You finished answering the questions. You may request your facilitator to check
your work. Congratulations and keep on learning!

BRIEF INTRODUCTION

COVID 19 has been affecting the business world since its occurrence.
There has been economic contraction, corporate revenue losses, liquidity
stresses, jobless people and many more. The pandemic is just one of the many
issues and problems that the economies around the world are suffering
nowadays.

The business world is very complex and its complexity creates several
issues and problems that can disturb the growth of the economy. Understanding
the contemporary socio-economic factors and their effects will help
entrepreneurs to recover from economic distresses and regain their positions in
the market.

6
 Learning Module for Applied Economics
Before we explore further our new lesson, let us read the article below. This
is a “think, learn and challenge” opportunity for you to connect more to the
ideas on the socio-economic impact of the COVID 19 pandemic that attacks the
whole world. Enjoy reading!

Socio Economic Impact of COVID 19

The UN’s Framework for the Immediate

Socio-Economic Response to the COVID 19
Crisis warns that “The COVID 19 pandemic is
far more than a health crisis: it is affecting
societies and econ-omies at their core.
While the impact of the pandemic will
vary from country to country, it will most likely
increase poverty and inequalities.

Without urgent socio-eco-nomic

responses, global suffering will escalate,
jeopardizing lives and livelihoods for years to
come. Immediate development responses in this
crisis must be undertaken with an eye to the future. Development trajectories in the
long-term will be affected by the choices coun-tries make now and the support they
receive.”

The United Nations has mobilized the full capacity of the UN system through its 131
country teams serving 162 countries and territories, to support national authorities in
developing public health preparedness and response plans to the COVID 19 crisis.

Over the next 12 to 18 months, the socio-economic response will be one of three
critical components of the UN’s COVID 19 response, alongside the health response, led
by WHO, and the Global Humanitarian Response Plan. (UNDP 2020)

Massive production disruptions that started in China have led to a lower supply
of goods and services that reduces overall hours worked, leading to lower incomes.
Photo Credits: UNDP China
Source: https://www.undp.org/content/undp/en/home/coronavirus/socio-economic-impact-of-covid-19.html

The entrepreneurs can make strategic management decisions in order to

address socio-economic issues. A strategic management tool to address
economic issues is the PEST analysis. It is a process of evaluating the external
socio-economic issues in a business. It looks at four relevant factors that affect
a business environment: Political, Economic, Social and Technological (PEST)
factors. These factors may significantly affect a business.

7
 Learning Module for Applied Economics
Let Us Challenge Yourself: “Think, Learn and Challenge Opportunity”

Case Problem: According to UNDP (2020), assessing the effects of the COVID 19
crisis on societies, economies and vulnerable groups is fundamental to inform
and tailor the responses of governments and partners to recover from the crisis
and ensure that no one is left behind on this effort.

Directions: Complete the chart. Determine the social and economic impacts or
effects of the COVID 19 crisis to the industries in your locality.

SOCIO-ECONOMIC EFFECTS OF COVID 19

Social Effects Economic Effects
1 1
2 2
3 3
4 4
5 5

Socio-Economic Factors and Their Effects To Entrepreneurs

Most entrepreneurs consider the socio-economic factors in making

necessary financial decisions. Such factors are population size and
growth rate, wealth distribution, social classes, income distribution among
families, lifestyles and buying behaviour, health consciousness, spending habits
on goods and services and many more. These affect businesses on micro and
macro levels of the economy. The stockholders of a business are interested in
analyzing these socio-economic factors as these can significantly affect the
business environments. The firms, therefore, use a tool to analyze the
environments called the “environmental analysis”

Socio-Economic Factors

There are social factors that may affect the entrepreneurs which include:
a) population size and growth rate b) wealth distribution c) social classes d)
income distribution among families e) lifestyles and buying behaviour of the
people f) health consciousness issues g) average disposable income h) attitude
towards the government, work buying habits, ethical concerns, cultural norms
and values, religion and beliefs i) education level j) attitudes towards saving,
investing, retirement, product quality and customer service.

8
 Learning Module for Applied Economics
Economic Factors
There are also economic factors that may affect the Filipino Entrepreneurs.
These include: a) economic growth rate b) interest rate c) inflation rate c)
exchange rate d) availability of credit e) spending behaviour f) government
budget deficits g) gross domestic product trends h) unemployment trend i) stock
market trends j) price fluctuations. Let us discuss some of the contemporary
socio-economic issues and their effects to entrepreneurs.

Interest Rates Exchange

Banking Rates
institutions are When exchange
interested of rates fluctuate,
knowing the
they affect the
status for interest
rates in the ability of a
economy to company to pay
determine their its suppliers. This
lending practices; a good information for a can also affect their profit margin and
company that relies on debt capital to finance the amount of resources they need to
projects. remain financially stable.
Recession Economic Sluggishness/Depression
Whenever an economy faces a recession, it has Economic
the potential to change the attitude taken by depression is a
consumers toward their purchasing decisions. severe and long
This may force companies to drop prices to stay term contraction
afloat. in economic
activity. It may
rise in
unemployment
rates and closure of many businesses. Poor
health services will expose the employees
on health risk; and the slowdown in growth
rates of GNP and income throughout the
world can cause the demand and supply
not to grow at similar rates.
Economic Rent Minimum Wage
Can cause to market imperfections and Increase in wage can
lead to the rise of economic rents; it would increase in consumer
not exist if spending capabilities
markets were and the low-income
workers have a higher
perfect since
spending capability.
competitive An increase in
pressures would minimum wages could lead to a higher
drive down growth and contribute towards inflation
prices. (higher costs for firms and higher spending
by the workers).
Sources: https://int.search.tb.ask.com/search/AJimage.jhtml http://immages.app.goo.gl/wKV6ff74v4cy
https://int.search.tb.ask.com/search/AJimage.jhtml www.businessleadermagazine com
https://int.search.myway.com/search/AJimage.jhtml

9
 Learning Module for Applied Economics
MACRO AND MICRO ECONOMIC ISSUES IN THE ECONOMY

Economics deals with the utility maximization allowing individuals to improve

their economic welfare. However, there are certain issues that may hinder this
objective. We classify these issues according to macro and micro levels.

The chart represents the micro and macro-economic economic issues that
affect the entrepreneurs and the entire economy.

https://www.economicshelp.org/blog/15276/economics/examples-of-economic-problems

ECONOMIC ISSUES: MICRO LEVEL

There are economic issues on the micro level that can harm the
entrepreneurs. Some of these issues are the following:
1. Externalities.
The economic decisions can have external effects on other people
 If utility maximizes, it’s a waste of resources for entrepreneurs
 Externalities require government intervention. For example, taxes on
negative externalities (e.g. tobacco tax)
 Solution to market failure (e.g. taxes), creates its own potential problems,
such as how much to tax? Will there be tax evasion?
2. Environmental Issues
Over-consumption could cause serious problems for future generations
 Example, global warming, loss of non-renewable resources.
 The price mechanism doesn’t take into account these future costs
 Policies to reduce consumption may prove politically unpopular
3. Volatile Prices
 A surplus in supply can fall in price which can cause lower revenue
 Volatile markets can cause swings in economic fortunes.
4. Inequality of Income Distribution
 There is an unfair distribution of resources.
 There is a diminishing marginal utility of wealth.
 If all wealth is owned by a small percentage of the population, this reduces
general welfare.

10
 Learning Module for Applied Economics
ECONOMIC ISSUES: MACRO LEVEL
There are also economic issues on the macro level that can harm the
entrepreneurs. Some of these issues are the following:
1. High Unemployment Rate
A swing in the business cycle causes high unemployment rate.

 A fall in demand for goods during a recession causes the laborers to

be removed from work.
 There is an imbalance between demand and supply of workers.
 A rapid change in labor markets, for examples, unskilled workers
unable to gain employment in a high tech economy.
 Unemployment is a waste of resources which leads to a very high
personal cost, such as low income and feelings of failure.

2 Recession
A recession is a period of negative economic growth and a decline in the
growth rate of the economy.
 It worsens problems of inequality and unemployment.
 It can create a negative spiral to business
 When demand falls, firms lay off workers
 May cause shutdown of companies
 The unemployed have less money to spend for goods (demand)

3. Inflation
High inflation can be a serious problem if prices rise faster than wages
and nominal interest rates.
 A rise in price may decline the wealth of the people
 If prices rise faster than wages, spending power will decline.
 A rapidly rising prices creates confusion and uncertainty on spending
and demand of goods.
 A decrease in quantity demanded due to rapidly rising prices can
cause firms to cut back on investment and spending

4. Exchange Rate Volatility

 Exports fall and they can develop a large current account deficit.
 The overvalued exchange rate can cause a fall in economic growth.

5. Poverty Cycle
 The developing economies may be stuck in a poverty trap.
 Low growth and low saving ratios lead to low levels of investment and low
economic growth.
 Low growth and poverty cause low savings and investment to continue

11
 Learning Module for Applied Economics

ACTIVITIES

Are you enjoying our lessons? Let us try to answer the other activities so
you can be more confident of your earned knowledge. Let us check your ideas
on the topics that we just discussed.

Activity No. 1 CAUSE/EFFECT DIAGRAM ON SOCIO ECONOMIC ISSUES

Directions: Below is a graphic organizer illustrating the socio-economic

issues that challenge the Filipino Entrepreneurs in your locality. State the
causes and effects of the macro and micro socio-economic problems that can
harm the local economy.

Cause/Effect

Cause/Effect
Price
Fluctuations

SLow
adoptation of Cause/Effect
Modern
Technology
Socio-
Economic Health
Factors Disparity
Affecting
Entrepreneurs
Cause/Effect

Economic Cause/Effect
Increasing Depression/
Unemployment Recession
Rate

If you encounter any difficulty in answering the activity, do not hesitate to

consult your teacher or facilitator. She/he is always willing to assist you . Always
bear in mind that you are not alone in doing the tasks.

12
 Learning Module for Applied Economics
Activity No 2. PROBLEM SOLVING (ACTION PLANS OR PROGRAMS)
Directions: As a citizen of your community, what can you do to solve or
improve the following economic problems? Rubrics: Focused on the problem or
Effectiveness 50%ꓹ Efficiency 30% and Useful ideas 20%

1. What can be done to solve unemployment problem?

Recommendations

2. What can be done to improve poor quality of infrastructure?

Recommendations

3 What can be done to minimize inequality in income distribution?

Recommendations

Activity No 3. ECONOMICS VOCABULARY

Directions: Describe the following socio-economic issues that may harm the Filipino
Entrepreneurs. You can be aided by your media and information literacies.

SOCIO-ECONOMIC ISSUES DESCRIPTIONS

1 Tax evasion

2 Economic stagnation

3 Inequality in wealth distribution

4 Health disparity

5 Infectious disease

13
 Learning Module for Applied Economics

REMEMBER

Socio-economic issues are factors that have negative effects on

economic activity. There are socio-economic factors that can affect the
Filipino entrepreneurs, consumers, suppliers, investors and private and
public sectors. These include:

Social Factors
The social factors include population size and growth rate, wealth
distribution, social class per capita income, lifestyles and health
consciousness, attitude towards government, attitude towards work, buying
habits, ethical concerns, cultural norms and values, religion and beliefs,
education or leaning or training levels, customer’s attitudes towards
saving, investing, retirement, product quality and customer service.

Economic Factors
The economic factors include economic growth rate, interest rate,
inflation rate, and foreign exchange rate, availability of credit, spending
behaviour, government budget deficits, gross domestic product trends,
unemployment trend, stock market trends and price fluctuations.

We also classify these issues according to macro and micro levels. The
following represent the micro and macro-economic issues that affect the
entrepreneurs and the entire economy.

ECONOMIC ISSUES: MICRO ECONOMIC ISSUES: MACRO

LEVEL LEVEL

The micro level economic

The macro level economic issues
issues include
include:
• Externalities
• Environmental issues • High Unemployment
• Volatile prices Rate
• Inequality of Income • Recession
Distribution • Inflation
• Exchange Rate
Volatility
You’ve learned a lot from this module. Now
• Poverty cycle
let us check your knowledge by answering
the activities below. Good luck!

14
 Learning Module for Applied Economics

CHECK YOUR UNDERSTANDING

Let us check your understanding on the topic. Have fun answering!

Part I. IDENTIFICATION

Directions: Determine whether micro or macro-economic issue. Write MIC

if micro issue and MAC if macro issue.
___________1. Pollution due several public and private transportation
___________2. Increasing unemployment rate
___________3. Inadequate sources of water
___________4 Economic depression
___________5. Inequality of income distribution
___________6. Poor quality of standard of living
___________7. Monopoly of electric power source
___________8. Import export barriers
___________9. Unstable prices of products
___________10.Poverty cycle among families

Part II. WORD SEARCH PUZZLE

Directions: Locate from the chart some of the socio-economic issues that can
affect the Filipino Entrepreneurs and that can harm the economy.
S A C A C D R I S K S A C A C D R S D F
T R P O O E C A R S I R A W O L B P E L
A A L P C P E E R S E X T E R N U I P U
G E T E E R C F L C T U A T I O N N R C
N T S A D E X T E R N A L I T I E S E T
A S K K S S C S C S D F G A N T M T S U
T Y U S O S P U Y O U L G F A R P A H A
I S I D F I G H J K V B L Q P X L B U T
O O K B P O V E R T Y A Q W E R O I T I
N A B A L N S N M A T Y O U L G Y L N O
E R T Y A T A P A I E X T E R N M I S N
S A C A C D R Q O E R T Y A Q W E T A S
E X T E R N U N T W Y O U L G F N Y D F
S A C A C D R R R S D E F I C I T S G H

15
 Learning Module for Applied Economics
POST-TEST

MULTIPLE CHOICE

Directions: Read the questions carefully. Encircle the correct answer.

1. If there is cyclical unemployment in the economy the government might:

a. increase interest rates c. cut income tax
b. encourage savings d. reduce government spending
2. To reduce cyclical unemployment the government might:
a. increase the budget surplus c. impose low interest rates
b. increase balance of payment d. encourage savings
3. The natural rate of unemployment is likely to fall if:
a. unemployment benefits increase
b. income tax increases
c. more training for the unemployed
d. geographical immobility increases
4. What is the 'nature-focused' account of hunger?
a. no enough food to go around
b. hunger is a distribution problem
c. hunger is a part of human nature
d. none from ABC
5. According to critical alternative views, poverty is a
a. monetary condition brought about by people's own laziness.
b. monetary condition where people do not have enough to satisfy needs.
c. monetary and non-monetary condition and people lack access to regulated
resources, opportunities and income.
d. all of the options given are correct.
6. To boost economic growth the government is most likely to:
a. increase interest rates c. provide incentives to invest
b. increase taxation rates d. provide incentives to save
7. Potential growth measures the:
a. growth of the fastest economy in the world
b. fastest growth an economy has ever achieved
c. present rate of growth of an economy
d. growth rate that could be achieved if resources were fully employed
8. In a potential economic growth rate:
a. unemployment is likely to fall c. demand is likely to fall
b. prices are likely to fall d. imports are likely to fall
9. In consumer behavior the culture, social class, and reference group influences
have been related to purchase and
a. economic situations c. consumption decisions
b. situational influences d. physiological influences
10. Changes in consumer values have been recognized by entrepreneurs expanding
a. latest technology a. health related
b. timesaving and convenience- b. communication
oriented

16
 REFLECTIVE LEARNING SHEET

The influence of socio-economic status, particularly on healthꓹ is

assumed to begin in the family environments and continue through life. It
affects childhood conditions such as exposure to infectious agents or
viruses. Therefore, we are responsible for taking care of our “health” for it is
our ultimate “wealth”. Everything turns to be insignificant if we surrender
taking care of our health. Write something about it.
_________________________________________________________________________________
_________________________________________________________________________________
_________________________________________________________________________________
_________________________________________________________________________________
_________________________________________________________________________________
_________________________________________________________________________________

_________________________________________________________________________________
_________________________________________________________________________________
_________________________________________________________________________________
___________________________________________________________________

E-SITES

To further explore the concept learned todayꓹ and if it possible to connect the internet, you
may visit the following links:

United Nations website for the International Day for Eradication of Poverty provides
background information as well as valuable links -
http://www.un.org/en/events/povertyday/links.shtml

Poverty & Human Rights UNESCO’s Anti-Poverty projects -

http://en.unesco.org/themes/learning-live-together

17
 Learning Module for Applied Economics
REFERENCES

Articles
Lamarco, N (2018) The Socioeconomic Factors Affecting Small Businesses. Retrieved on June 05 2020 from
https://smallbusiness.chron.com/socioeconomic-factors-affecting-small-businesses-73234.html

Pettinger, T. (2019) Examples of Economic Problems. Retrieved on June 05 2020 from

https://www.economicshelp.org/blog/15276/economics/examples-of-economic-problems;
https://www.economicshelp.org/blog/11503/labour-markets/effect-of-minimum-wage-on-adas

Websites
https://www.britannica.com/topic/economic-growth/Demand-and-supply
https://int.search.tb.ask.com/search/AJimage.jhtml
https://www.investopedia.com/terms/e/economicrent.asp
https://int.search.tb.ask.com/search/AJimage.jhtml
https://global.oup.com/us/companion.websites/9780199811786/student/chapt2/true_false/
https://int.search.myway.com/search/AJimage.jhtml
http://immages.app.goo.gl/wKV6ff74v4cy
https://www.business-to-you.com/scanning-the-environment-pestel-analysis
https://global.oup.com/uk/orc/busecon/business/frynas_mellahi3e/student/mcqs/ch02
https://global.oup.com/uk/orc/busecon/economics/gillespie_econ4e/student/mcqs/ch25
https://global.oup.com/uk/orc/xedition/baylis6exe/student/mcqs/ch20/
https://global.oup.com/uk/orc/busecon/economics/gillespie_econ4e/student/mcqs/ch2
http://www.ngmc.org/wp-content/uploads/2019/06/BBA_18UBM620-CONSUMER-BEHAVIOUR.pdf
https://www.nap.edu/read/11036/chapter/6#55
https://www.undp.org/content/undp/en/home/coronavirus/socio-economic-impact-of-covid-19.html
https://www balance com
http://www.ngmc.org/wp-content/uploads/2019/06/BBA_18UBM620-CONSUMER-
BEHAVIOUR.pdf
https://global.oup.com/us/companion.websites/9780199811786/student/chapt2/true_fal
https://global.oup.com/uk/orc/busecon/business/frynas_mellahi3e/student/mcqs/ch02/
http://www.kprschools.ca/en/staff/wellness/equity/povertysocioeconomicissues.html

Acknowledgment
Writers: Ellaine I. Dela Cruz, DBA
Cristina A. Labayꓹ MM
Editor: Isabel A. Gumaru, DBA
Evaluator: Ellaine I. Dela Cruz, DBA

Validators & Reviewers:

Remylinda T. Soriano, EPS
Angelita Z. Modesto, PSDS
George B. Borromeo, PSDS
Management Team:
Maria Magdalena M. Lim, Schools Division
Superintendent-Manila
Aida H. Rondilla, Chief Education Supervisor
Lucky S. Carpio, EPS In Charge of LRMDS
Lady Hannah C. Gillo, Librarian II-LRMDS

18
 Learning Module for Applied Economics

ANSWER KEY

PRE-TEST
Part I. Identification

1. S 5. S 9. E
2. E 6. S 10.E
3. E 7. S
4. S 8. S

Part II. PEST Analysis

POLITICAL ECONOMIC

irregularities on the implementation of the restricted foreign trade policy, unavailable credit
Bayanihan Act and alleged corruption by barangay opportunities, strict labour lawsꓹ price fluctuations
officials tight resource & environmental law, limited local
workforce, high interest rate and unemployment
trend

SOCIAL TECHNOLOGY

education system, Inefficient health regulations, poor infrastructure, slow research and development
high death rate, income/amelioration distribution, (R&D) activity of reporting COVID patients and
inadequate information for safety measures, limited technological facilities
poverty rate and lifestyle barriers

LOOKING BACK TO YOUR LESSON

Part I. Matching Type
1. Perfect Competition 3 Monopoly
2. Oligopoly 4 Perfect Competition

Part II. Market Structure

1. Perfect Competition 3. Oligopoly 5. Perfect Competition
2. Oligopoly 4. Monopoly

ACTIVITIES
Activity I. Causes and Effects (the students may give their answers based on
observations from their localities)
Activity II. Problem solving
(The students may recommend action plans or programs) Rubrics: Focused on the
problem or Effectiveness 50% ꓹ Efficiency 30%ꓹ Useful ideas 20%
1. issue on unemployment
2. issue on poor quality of infrastructures
3. issue on inequality on income distribution

19
 Learning Module for Applied Economics
Activity3. Economics Vocabulary

SOCIO-ECONOMIC DESCRIPTIONS
ISSUES
1. Tax evasion Illegal or underpayment of taxes to the government

2. Economic Slow economic growth or economic depression

stagnation
3. Economic Unequal distribution of income and opportunity between or different
inequality groups in a society (https://wol.iza.com)
4. Health disparity Inequalities in the provision of health care and health care access
across different racial ethnic and socio economic groups
(Mandalꓹ A. 2020)
5. Infectious disease Disorders caused by viruses bacteria or fungi (https//www.science
direct.com)

CHECK YOUR UNDERSTANDING

Part I. MIC or MAC

1. MIC 5. MIC 9. MIC
2. MAC 6. MAC 10. MAC
3. MIC 7. MIC
4. MAC 8. MAC

Par II. Word Search Puzzle (In no particular order)

1. Depression 5. Inflation 9. Recession

2. Externalities 6. Fluctuation 10. Unemployment
3. Stagnation 7. Instability
4. Poverty 8. Deficit

POST TEST
1. C 5. C 9. C
2. C 6. C 10. B
3. C 7. D
4. A 8. A

20