Economics and Personal Finance

Economics is from two Greek words, "Oikos" meaning home, and "nomos" meaning law or rule. The primary goal of economics, therefore, is to train students in the age-old principles of ruling and stewarding the gifts God has given. The goal of this class is for students to leave with a greater understanding of and ability to practice their responsibility as rulers and stewards of God's gifts.

Most of the time when people think of economics they think of "supply and demand," finance, taxes, and most of all, money. But there is much more to it. In His earthly ministry and especially through His parables, Jesus honored those who used their wealth wisely. All of our wealth (money, homes, vehicles, computer, books, etc.) are gifts that we are called to use well.

Each week there will be a recorded lecture and one live recitation. In the first half of the course we will cover the basics of economics, i.e. factors of production, supply, and demand, money, banking, etc., but not as a mere abstract science. We will study these subjects in light of Christian and pagan wisdom of the past while considering how our choices today affect not only ourselves but our descendants.

The second half of the course will focus on applying the principles of wise stewardship to personal finance. We will learn about entrepreneurship, budgeting, saving, investing, personal and business loans, taxes, dealing with financial loss, and using our blessings to build God's kingdom.

This course will satisfy the Applied Math credit on the honors track

Grades will be taken as follows:

• 4 topical Essays - 1 every eight weeks
• Reading Journal - Record thoughts about the class readings, to be turned in at the beginning of each class
• Economic calculations homework
• 2 Tests - Midterm and Final
• Participation in Class Recitation
• Business Plan Blog - students will create a blog about their business, outlining the steps they take in the development and implementation of their business.

Course Objectives:

1. Upon completion of this course, students should be able to
2. Understand the purpose and right uses of economics
3. Differentiate between wise and foolish stewardship
4. Apply the principles of microeconomics to everyday choices
5. Discuss the history of household rule and how it changed over time
6. Consider one's calling and how wise financial choices help in the pursuit of that calling
7. Make a plan and take the initial steps to start a business
8. Use financial tools (budgeting, saving, investing) to build wealth

Texts:

• Christian Economics, Student's Edition, Dr. Gary North (free online)
• Man of the House - C.R. Wiley
• Economics, Principles of Prosperity - Russell Kirk
• Total Money Makeover - Dave Ramsey
• The Richest Man in Babylon - George Clason (public domain)

Course Survey:

1st Semester

• Week 1: Introduction, Purpose, Metaphysics, Natural Law
• Week 2: Principles for Analysis of Economics
• Week 3: The Grammar of Economics
• Week 4: Economic Systems (Theft, Graft, and Gratitude)
• Week 5: Demand - Thinking Like a Customer
• Week 6: Supply - Thinking Like a Business Owner
• Week 7: Prices - Reconciling different Demand and Supply
• Week 8: Business - Using God's blessings to serve others
• Week 9: Money and Banking
• Week 10: Financial Markets
• Week 11: Measuring Success and Understanding Problems
• Week 12: Household Rule - Applying our knowledge to lead well
• Week 13: History of Household Rule
• Week 14: Third Ways - Attempts to Correct the Problems of Economics
• Week 15: Entrepreneurship - Go thou and do likewise
• Week 16: Humane Economics, or how to really love your neighbor

2nd Semester

• Week 1 - Introduction: Setting Goals and Building Habits
• Week 2 - Establish your Calling
• Week 3 - Setting Priorities for Spending
• Week 4 - Create a Spending Plan and Determine Cash Flow
• Week 5 - Credit, Debt, and How it is Used (A good name is rather to be chosen than great riches)
• Week 6 - Identity Theft and Online Protection
• Week 7 - Lifestyle Choice and Future Outlook
• Week 8 - Saving and Planning for Failure
• Week 9 - Rendering Unto Caesar (Taxes)
• Week 10 - Budgeting and Bank Accounts
• Week 11 - Saving and Investing
• Week 12 - Buying a Home
• Week 13 - Insurance: Homeowners, Auto, Life, Etc.
• Week 14 - Going to College, Debt Free
• Week 15 - Retirement
• Week 16 - Building God's Kingdom

Learn More About This Course