BrainMeld.org Rafidi - Capitalism II 1 A Teaching Guide for Twelfth Grade Economics Class: Create the Empire of your Dreams! Written by Ronda Rafidi October 2006
May 06, 2015
BrainMeld.org Rafidi - Capitalism II 1
A Teaching Guide for Twelfth Grade Economics Class: Create the Empire of your Dreams!
Written by
Ronda Rafidi
October 2006
BrainMeld.org Rafidi - Capitalism II 2
Table of Contents
Teaching Guide Overview ..................................................................................3 Capitalism II Description ...............................................................................................3 Using Capitalism II in the Classroom ............................................................................3 The Advantages of Teaching with Games ....................................................................4 Goals and Objectives ....................................................................................................5 Grade Level Standards and Content Area ....................................................................6 Where the Game fits into the Curriculum ......................................................................7 What Teachers Need to Know Before Beginning..........................................................7 Hardware Requirements ...............................................................................................8
Lessons Overview ..............................................................................................8 Lesson One...................................................................................................................9
Lesson One Goals and Objectives ......................................................................................... 9 Lesson One Setup – Marketing ............................................................................................ 10 Lesson One Activity/Gameplay............................................................................................. 11 Lesson One Follow-up/Debriefing ........................................................................................ 11 Lesson One Extensions........................................................................................................ 12
Lesson Two – Stock Market and Finance ...................................................................12 Lesson Two Goals and Objectives ....................................................................................... 12 Lesson Two Setup ................................................................................................................ 13 Lesson Two Activity/Gameplay............................................................................................. 13 Lesson Two Follow-up/Debriefing ........................................................................................ 14 Lesson Two Extensions........................................................................................................ 15
Teacher Resources...........................................................................................16 References ........................................................................................................17
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Teaching Guide Overview Create and control the business empire of your dreams. Capitalism II is an in-depth
strategy simulation game which covers almost every aspect of business that could be
encountered in the real world. California high school Economics teachers and students
will benefit greatly by incorporating and playing this exciting simulation game.
Capitalism II will help to enhance some of the California standards required for high
school Economics by giving students hands-on experiences in marketing, finance, and the
Stock Market.
Capitalism II Description Capitalism II is a business simulation game where strategy and basic knowledge of
economics can be practiced and enhanced. Starting with a tiny business and a dream,
Capitalism II allows you to build a world-dominating mega corporation from the comfort
of your PC. Develop products, gather raw materials, manufacture, sell at retail and
purchase other companies as you grow, all with an eye on the bottom line. This game has
great depth and detail, but a user-friendly interface and generous tutorial, ease newcomers
in.
Using Capitalism II in the Classroom When used in the classroom, this game will simulate certain aspects of a Capitalist
economy. Twelfth grade Economics students will get hands-on experience in the business
world in order to better understand America’s market economy in a global world.
Capitalism II can also be used to enhance lessons for high school Consumer Math classes
by helping students tie the math skills they learn in the classroom with real-world
functions and uses.
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The Advantages of Teaching with Games Teaching with games can have a positive affect in the classroom because it helps to
motivate students to learn. In his article: The Motivation of Gameplay or, the Real 21st
Century Learning Revolution, Marc Prensky states: “One of the biggest problems in all
formal learning, whether classroom, online, distance, or “e-,” is keeping students
motivated enough to stick with the learning process to the end of anything – a class,
lesson, session, course, semester, or degree.” (Prensky, 2002 p. 1). Because today’s
students are growing up in a more technologically advanced culture, when we ask them
to “turn off” the cell phones, iPods, MP3s, and hand-held game systems as they walk into
the classroom, they automatically “turn-off” a big part of their learning mode. In turn,
they tend not to feel motivated to learn. So, if these young people have just “turned off” a
major mode of learning and are not feeling motivated to learn, how can they truly learn
new concepts using traditional lecture, textbook/worksheet methods? Although these
traditional ways of teaching and learning are still an important way of instruction in our
culture today, it is important for teachers to utilize educational technology in the
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classroom in order to help motivate their students and to keep them tuned-in to learning
(Aldrich, 2004).
Students spend many hours playing and discussing games (Gee, 2003). This skill can be
utilized in the classroom in order to teach certain concepts and educational standards.
Teachers can use commercially popular games that students know in order to help bridge
the level of understanding in many subject areas. Another advantage is that many of these
games cross over to more than one specific subject area, so teachers are able to integrate
more than one lesson in a gaming activity. Teachers will also be able to keep students
motivated after playing the games by integrating learning activities such as writing
assignments, critical and analytical thinking skill activities, as well as cooperative group
activities to reinforce the state standards being taught through the use of the game.
Goals and Objectives Twelfth grade Economics students will be able to
work cooperatively together in pairs throughout 90% of the class period.
to understand the workings of a Capitalist Economy through actively participating
in a simulated Capitalist Economy.
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show understanding of the concept of marketing in a capitalist economy by
creating their own simulated business.
show understanding of the concepts of supply and demand through simulation of
running a business.
explain Market Economy.
explain the responsibilities and demands of being an entrepreneur by creating and
controlling their own simulated business.
describe the functions of a financial market.
experience simulated buying and selling of business stocks and how they relate to
the global market.
Grade Level Standards and Content Area Capitalism II will help partially address the following California State Standards for
twelfth grade students:
12.2 Students analyze the elements of America's market economy in a global setting.
1. Understand the relationship of the concept of incentives to the law of supply and
the relationship of the concept of incentives and substitutes to the law of demand.
2. Discuss the effects of changes in supply and/ or demand on the relative scarcity,
price, and quantity of particular products.
3. Explain the roles of property rights, competition, and profit in a market economy.
4. Explain how prices reflect the relative scarcity of goods and services and perform
the allocative function in a market economy.
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5. Understand the process by which competition among buyers and sellers
determines a market price.
6. Describe the effect of price controls on buyers and sellers.
7. Analyze how domestic and international competition in a market economy affects
goods and services produced and the quality, quantity, and price of those
products.
8. Explain the role of profit as the incentive to entrepreneurs in a market economy.
9. Describe the functions of the financial markets.
Where the Game fits into the Curriculum Students will be required to know common economic terms and concepts as well as
economic reasoning as required for twelfth grade California State Standards (12.1) for
Economics. Terms such as: Incentives, law of supply, law of demand, substitutes,
scarcity, price, quantity of products, property rights, competition, market economy, goods
and services, competition among buyers and sellers, market price, price controls,
entrepreneurs, financial market. It will also be required for students to have a basic
understanding of the stock market.
What Teachers Need to Know Before Beginning This guide is designed with the assumption that teachers and students have a basic
knowledge of using a computer, a mouse, and the keyboard. Students should also have a
basic understanding of computer software such as Microsoft PowerPoint, Excel, and
Word. Before using Capitalism II in the classroom, teachers should be familiar with the
instruction manual which accompanies the game. Teachers should also go through the
tutorials that will guide them through the basics of interface and objectives. Since this is a
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complex game, it’s advisable to play the tutorial before playing the game. Finally,
teachers should play the game for several hours in order to be able to guide and assist
their students. Teacher should play and save a game with the same guidelines as expected
of students in order to run it and show it to the students over the projection system when
preparing the students for game time.
Hardware Requirements Minimum of 15 Personal Computers (or enough to pair up students in your
classroom) running Microsoft 2000/XP editions
Minimum: Pentium II 233 MHz, 64 MB RAM, Windows 95/98, DirectX 8.0, DirectX-compliant video card, DirectX-compliant sound card, 4x CD-ROM drive, and 250 MB hard-disk space Recommended: Pentium II 350 MHz, 128 MB RAM
Projection Systems: One Projection system for the teacher to give instructions on
Lessons Overview Students will first watch the game tutorials on the projection system while the teacher is
going through it step-by-step. Students will help to guide the teacher in where he/she
should navigate within the game in order to understand the functions of the tools and how
the game should be played.
Students will then do the same tutorial again on their own using their own PC. This will
give them the opportunity for trial-and-error and to ask questions about the parts of the
game they do not understand before they have to actually play the game. The teacher will
then be able to walk around and observe/assist the students.
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Once the tutorials are all done, the teacher will help to guide students as they play the
game in pairs during lesson one. The teacher can walk around and offer help to the
different groups.
Lesson One
This lesson will focus on marketing. The same difficulty level should be set for all
participants. For simplicity, the stock market can be deactivated and not all products are
necessarily to be covered. Have all students click on “Custom Level”, click on
“Environment”, click “NO” on “allow stock investments”. Then, click on “Goals” and
arrow up or down to a ten year time period.
Lesson One Goals and Objectives Twelfth grade Economics students will be able to work cooperatively together in
pairs throughout 90% of the class period.
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Twelfth grade Economics students will be able to understand the workings of a
Capitalist Economy through actively participating in a simulated Capitalist
Economy.
Twelfth grade Economics students will be able to show understanding of the
concept of marketing in a capitalist economy by creating their own simulated
business.
Twelfth grade Economics students will be able to show understanding of the
concepts of supply and demand through simulation of running a business.
Twelfth grade Economics students will be able to explain Market Economy.
Twelfth grade Economics students will be able to explain the responsibilities and
demands of being an entrepreneur by creating and controlling their own simulated
business.
Lesson One Setup – Marketing The teacher should now run the saved game he/she played previously and discuss the
strategies he/she used while playing. Ask for feedback from the students as to
whether or not the strategies used were appropriate and whether they would use that
strategy or something else.
Divide students into groups of three or so in order to discuss among themselves
the kinds of strategy they intend to pursue. This will help to build up team spirit
which is so necessary in the real world business. Each student is to keep a written
journal of events, strategies, and happening throughout the game.
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Pair students by gaming experience levels: Those with more experience can be
paired with those with less experience so experienced players will be able to assist
the less experienced.
Lesson One Activity/Gameplay
Teams of two students play 3 scenarios of rising difficulty level.
Students should then be allowed to play the game for a fixed period of time. For
example, try ten years game time. This should take about one hour if the speed
mode is set to normal. Twenty years game time will reward thinking about long-
term strategies. For an extended lesson, have them play twenty years.
When the first scenario is completed a discussion between the students and the
teacher should take place, discussing product quality, competition, advertising,
research and other factors that may contribute to the company’s success or failure.
Lesson One Follow-up/Debriefing
Save the game after 10 year game time, have students calculate their scores and
analyze the results.
Competitor analysis:
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Students have to analyze each and every competitor to uncover the reasons that
contribute to his or her success and failure.
Corporate analysis of the player:
Students can have a clearer picture about their corporate situation after a clear and
detailed competitor analysis. Only do an analysis on a single topic each time.
Since you are concentrating on the topic of marketing, then other aspects such as
stock market, suppliers, human resources can be ignored; this might not give you
a full picture but will be much easier to handle. Besides, concentrating on one
aspect each time enable students to get a clearer understanding about that
particular topic.
Lesson One Extensions Write a paper or create a PowerPoint presentation using your journal entries
regarding your experience in playing the game as well as your progress in the
game.
Students will give an oral presentations in class
Lesson Two – Stock Market and Finance
Lesson Two Goals and Objectives Twelfth grade Economics students will be able to work
cooperatively together in pairs throughout 90% of the class period.
Twelfth grade Economics students will be able to explain the
responsibilities and demands of being an entrepreneur by creating and controlling
their own simulated business.
BrainMeld.org Rafidi - Capitalism II 13
Twelfth grade Economics students will be able to describe the functions of a
financial market.
Twelfth grade Economics students will be able to experience simulated buying
and selling of business stocks and how they relate to the global market.
Lesson Two Setup Review the lesson about the stock market, which students should have learned
before playing Capitalism II.
Let students study the stock market tutorial first so that they can familiarize
themselves with the stock market features in the world of Capitalism II.
Load the saved game students played in lesson one. Have students go back into
“Custom Level”, click on “Environment”, and click “YES” to allow stock market
Investments.
Play the game for a certain period of time. Students can choose to pursue a
corporate strategy focusing on stocks but they are encouraged to cover normal
business activities like farming, manufacturing and retailing as well.
Buy and sell shares, issue new shares, tender offer, takeover, merger, dividend
paying and stock trading regulation.
Have students include bank borrowing and repaying, as well as bankruptcy.
Lesson Two Activity/Gameplay Play the game for a couple of hours
Students should then be allowed to play the game for a fixed period of time. For
example, try ten years game time. This should take about one hour if the speed
BrainMeld.org Rafidi - Capitalism II 14
mode is set to normal. Twenty years game time will reward thinking about long-
term strategies.
Lesson Two Follow-up/Debriefing
Although there is plenty of fast money to be made in the stock market, the real
money comes only from having a long-term investment strategy and the real path
to riches comes from corporate stability and steady growth.
The students’ corporate earnings are the only means of investment capital
available to them. Make sure to have them invest in the stock market, but never
neglect or jeopardize their corporate health to do it. This is where the previous
lesson on the stock market comes in.
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Lesson Two Extensions Write a paper or create a PowerPoint presentation using your journal entries
regarding your experience in playing the game as well as your progress in the
game. Use graphs, charts and pictures in the presentations.
Students will give oral presentations to the class.
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Teacher Resources CNET Networks Entertainment: Gamespot CNET Networks, Inc. - Headquarters 235 Second Street San Francisco, CA 94105 http://www.gamespot.com/pc/strategy/capitalism2/review.html
Enlight 8707 Yvonne Court Way Parkville, Maryland 21234 Phone: 410-661-3301 http://www.enlight.com/capitalism2/ Games 2 Download http://www.games2download.com/free-tycoon-games/capitalism2.htm IGN Entertainment: Gamespy http://archive.gamespy.com/reviews/january02/capitalism2/
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References
Aldrich, C. (2004). Simulations and the Future of Learning: An Innovative (and Perhaps
Revolutionary) Approach to e-Learning. San Francisco: Pfeiffer.
Gee, J.P. (2003, May). High Score Education: Games, not School, are Teaching Kids to
Think. Wired Magazine, (11.05). Retrieved October 9, 2006, from
http://www.wired.com/wired/archive/11.05/view.html?pg=1
Prensky, M. (2002). The Motivation of Gameplay or, the REAL 21st Century Learning
Revolution. On The Horizon, 10(1).