ECONOMICS
Economics challenges members to demonstrate their understanding of key economic concepts and principles through an objective test. This event covers topics such as supply and demand, market structures, fiscal and monetary policy, and the global economy, encouraging members to explore how economic forces shape the world.
Event Overview
Division: High School
Event Type: Individual
Event Category: Objective Test, 100-multiple choice questions (breakdown of question by competencies below)
Objective Test Time: 50 minutes
Career Cluster Framework Connection: Financial Services
NACE Competency Alignment: Career & Self-Development, Critical Thinking
Items Competitor Must Provide: Sharpened pencil, Photo Identification, Conference-provided nametag, Attire that meets the Florida FBLA Dress Code
Objective Test Competencies
· Fundamental Economic Concepts
· Nature of Business
· Economic Systems
· Government’s Impact on Business
· Cost/Profit Relationships
· Economic Indicators
· Global Trade
Test questions are based on the knowledge areas and objectives outlined for this event. Detailed objectives can be found in the study guide included in these guidelines.
District
Check with your District leadership for District-specific competition information.
State
Eligibility
· FBLA membership dues are paid by 11:59 pm Eastern Time on December 1 (or earlier date specified by District Director) of the current program year.
· Members may compete in an event at the State Leadership Conference (SLC) more than once if they have not previously placed in the top 10 of that event at the National Leadership Conference (NLC). If a member places in the top 10 of an event at the NLC, they are no longer eligible to compete in that event.
· Members must be registered for the SLC and pay the state conference registration fee in order to participate in competitive events.
· Members must stay in an official FBLA hotel to be eligible to compete.
· Each district may be represented by participant(s) based on the Florida FBLA scaled quota system found on the Florida FBLA website.
· Each member can only compete in one individual/team event and one chapter event (Community Service Project, Local Chapter Annual Business Report).
· Identification: Competitors must present valid photo identification (physical) that matches the name on their conference name badge. Acceptable forms include a driver’s license, passport, state-issued ID, or school ID.
· If competitors are late for an objective test, they may be either disqualified or permitted to begin late with no extension of the time as scheduled.
· Participants must adhere to the Florida FBLA dress code established by the Florida Board of Directors or they will not be permitted to participate in the competitive event.
Recognition
· The number of competitors will determine the number of winners. The maximum number of winners for each competitive event is 5.
Event Administration
· This event is an objective test administered at the SLC.
· No reference or study materials may be brought to the testing site.
· No calculators may be brought into the testing site; calculators will be provided.
Scoring
· Ties are broken by comparing the correct number of answers to the last 10 questions on the test. If a tie remains, answers to the last 20 questions on the test will be reviewed to determine the winner. If a tie remains, the competitor who completed the test in a shorter amount of time will place higher.
· Results announced at the State Leadership Conference are considered official and will not be changed after the conclusion of the State Leadership Conference.
Americans with Disabilities Act (ADA)
· FBLA complies with the Americans with Disabilities Act (ADA) by providing reasonable accommodations for competitors. Accommodation requests must be submitted through the conference registration system by the official registration deadline. All requests will be reviewed, and additional documentation may be required to determine eligibility and appropriate support.
Penalty Points
· Competitors may be disqualified if they violate the Competitive Event Guidelines or the Honor Code.
Electronic Devices
· Unless approved as part of a documented accommodation, all cell phones, watches, electronic devices, and headphones must be turned off and stored away before the competition begins. Visible devices during the event will be considered a violation of the FBLA Honor Code.
National
If you are competing on the National level, be sure to see the National guidelines at https://www.fbla.org/divisions/fbla/fbla-competitive-events/
Study Guide: Competencies and Tasks
This study guide shows the skills and knowledge you’ll be tested on for this event. Objectives followed by a two-letter, three-digit code in parentheses are based on the National Business Administration Standards from MBA Research and Curriculum Center. Some objectives also reference MBA Research's Learning Activity Packages (LAPs)—resources with readings, activities, and assessments to help you learn. For more information, visit MBAResearch.org/FBLA.
Fundamental Economic Concepts (15 test items)
1. Distinguish between economic goods and services (EC:002, LAP-EC-902) (CS)
2. Explain the concept of economic resources (EC:003, LAP-EC-903) (CS)
3. Describe the concepts of economic and economic activities (EC:001, LAP-EC-901) (CS)
4. Determine economic utilities created by business activities (EC:004, LAP-EC-904) (CS)
5. Explain the principles of supply and demand (EC:005, LAP-EC-905) (CS)
6. Describe the functions of prices in markets (EC:006, LAP-EC-906) (CS)
Nature of Business (15 test items)
1. Explain the role of business in society (EC:070, LAP-EC-070) (CS)
2. Describe the types of business activities (EC:071, LAP-EC-071) (CS)
3. Describe the types of business models (EC:138) (SP)
4. Explain the organizational design of businesses (EC:103, LAP-EC-103) (SP)
5. Discuss the global environment in which businesses operate (EC:104, LAP-EC-104) (SP)
6. Describe factors that affect the business environment (EC:105, LAP-EC-105) (SP)
7. Explain the nature of business ethics (EC:106, LAP-EC-106) (SP)
8. Explain how organizations adapt to today’s markets (EC:107, LAP-EC-107) (SP)
Economic Systems (15 test items)
1. Explain the types of economic systems (EC:007, LAP-EC-907) (CS)
2. Identify the impact of small business/entrepreneurship on market economics (EC:065) (CS)
3. Explain the concept of private enterprise (EC:009, LAP-EC-909) (CS)
4. Identify factors affecting a business’s profit (EC:010, LAP-EC-910) (CS)
5. Determine factors affecting business risk (EC:011, LAP-EC-911) (CS)
6. Explain the concept of competition (EC:012, LAP-EC-912) (CS)
Government’s Impact on Business (5 test items)
1. Determine the relationship between government and business (EC:008, LAP-EC-016) (CS)
2. Describe the nature of taxes (EC:072, LAP-EC-072) (SP)
Cost/Profit Relationships (10 test items)
1. Explain the concept of productivity (EC:013, LAP-EC-913) (CS)
2. Analyze impact of specialization/division of labor on productivity (EC:014, LAP-EC-914) (SP)
3. Explain the concept of organized labor and business (EC:015, LAP-EC-915) (SP)
4. Explain the impact of the law of diminishing returns (EC:023, LAP-EC-023) (SP)
Economic Indicators (15 test items)
1. Discuss the measure of consumer spending as an economic indicator (EC:081) (SP)
2. Describe the economic impact of inflation on business (EC:083) (SP)
3. Explain the concept of Gross Domestic Product (GDP) (EC:017, LAP-EC-917) (SP)
4. Discuss the impact of a nation’s unemployment rates (EC:082, LAP-EC-082) (SP)
5. Explain the economic impact of interest-rate fluctuations (EC:084) (SP)
6. Determine the impact of business cycles on business activities (EC:018, LAP-EC-918) (SP)
Global Trade (25 test items)
1. Explain the nature of global trade (EC:016, LAP-EC-916) (SP)
2. Discuss the impact of globalization on business (EC:109) (SP)
3. Describe the determinants of exchange rates and their effects on the domestic economy (EC:100, LAP-EC-100) (SP)
4. Explain cultural considerations that impact global business relations (EC:110) (SP)
5. Discuss the impact of cultural and social environments on global trade (EC:045, LAP-EC-045) (SP)
6. Describe the impact of electronic communication tools (e.g., internet, video-and computer-conferencing, webcasts, email) on global business activities (EC:111) (SP)
7. Explain the impact of major trade alliances on business activities (EC:112) (SP)
8. Describe the impact of the political environment on world trade (EC:113) (SP)
9. Explain the impact of geography on world trade (EC:114) (SP)
10. Describe the impact of a country’s history on world trade (EC:115) (SP)
11. Explain the impact of a country’s economic development on world trade (EC:116) (SP)