Correlation to the

Kentucky Learning Goals and Academic Expectations

With Demonstrators

 

For Middle and High School

Mathematics

 

 

 

Kentucky Council on Economic Education

200 W. Broadway, Suite 816

Louisville, KY 40299

502-267-3570 (1-800-I-DO-ECON)

www.econ.org

info@econ.org


 Stock Market Game

Correlation to the

Kentucky Learning Goals and Academic Expectations

For Middle and High School

Mathematics

___________________

 

1.5 - 1.9     Students use mathematical ideas and procedures to communicate, reason, and solve problems

 

                        Reasoning and Problem Solving

"There are four aspects of the problem-solving process that are particularly useful for middle school grade students: understanding the problem, devising a plan, carrying out the plan, and looking back." These four aspects are present in the Stock Market Game program.  The goals and procedures of the Stock Market Game program are easy to understand.  The problem of growing an investment is easy to understand.  Students devise a plan for investing the $100,000, implement their plan, then examine the results.  Since the Stock Market Game program's duration is 15 weeks, students engage in extended problem solving, investigation, and "looking back" at results.

 

Communicate

Working in small teams, opportunities abound for students to communicate their mathematical, thinking, reasoning, and questioning about their investment choices, the tea's investment decisions, and performance, as well as the class's overall performance. The team setting may encourage more active communication by the students who are often less hesitant to speak before the full class as well as provide tutorial communications among team members as they calculate purchases, sells, broker fees, gains/losses, opportune selling prices, and more.  Charts, graphs and team presentations can communication decisions, projections, and performance.  The Stock Market Game program provides many opportunities for teachers to devote classroom time to encouraging student communication of mathematical reasoning and thinking being used in the Stock Market Game program.

 

 

Demonstrators:

 

Using Stock Market Game, students will

 

1)      select, apply, and justify appropriate mathematical procedures to solve real life problems using rational numbers (Students justify calculations on SMG portfolio)

2)      model problem solving situations using oral, written, concrete, pictorial, graphic, and simple algebraic methods. (Use Market Mysteries activities)

3)      communicate the meanings of number, space, change, data, and measurement verbally, pictorially, symbolically, and concretely. (Create spreadsheets and charts of stock price changes)

4)      use deductive and inductive reasoning to synthesize information related to problems, making conjectures, exploring, validating, and convincing others. (Students research and interpret stock data, economic data, and corporate data, make stock selections, and create a convincing argument for their reasoning to teammates.)

 

Learning Resource Center Lessons:

Problem Solving

Learning from the Market, lessons 1, 8, 9, 13, 15, 23, 24

The Stock Market Game Guide, lessons 16, 17

SMG Teacher's Guide to the Internet, activities, 4.30, 4.51, 4.62

Reasoning and Proof

Learning from the Market, lessons 8, 10, 11, 13, 18, 22

SMG Teacher's Guide to the Internet, activities, 4.2, 4.21, 4.30, 4.40, 4.51, 4.62

Communication

Learning from the Market, lessons, 3, 7, 22

SMG Teacher's Guide to the Internet, activities, 4.2, 4.12, 4.21, 4.30, 4.40, 4.51, 4.62

 

 

 

1.16     Students use computers and other kinds of technology to collect, organize, and communicate information and ideas. 

 

Demonstrators:

 

Using The Stock Market Game, students will

1)      use the research facilities within SMG and other online resources to gather statistical stock data on their stock selections

2)      track their stock prices, dividends, stock splits, fees, gains and losses, interest earned and paid in their portfolio pages (Account Summary, Account Holdings, Transaction Notes, Gains and Losses, Transaction History, and Pending Transactions).

3)      use Market Mysteries to collect, organize, and evaluate data (clues), and communicate their choices online.

4)      Create spreadsheets and graphical presentations of their stock data

 

Learning Resource Center Lessons:

Learning from the Market lessons

SMG Teacher's Guide to the Internet activities

 

 

2.7           Students understand number concepts and use numbers appropriately and accurately.

2.8           Students understand various mathematical procedures and use the appropriately and accurately

 

Demonstrators:

 

Using The Stock Market Game, students will

           

1)      use large numbers, fractions, percents and ratios as they buy and sell shares of common stock.

2)      work with equivalent representations such as converting whole number and fractional prices to dollars and cents.

3)      convert percents to decimals when calculating broker fees, and the reverse, decimals to percents, when calculating yields.

4)      examine trading volumes and values of stocks traded, which illustrates practice with large numbers.  Examples of team trading volume and class trading volume promote understanding of proportionality.

5)      develop and practice proportional reasoning skills as they determine which stocks are better buys, which stocks in their portfolio have been most profitable and brought the highest yield, or determine whether a high or low price earnings ratio is a better investment.

6)      build on basic computational skills of addition, subtraction, multiplication, and division with integers as they increase the same computational skill with fractions, percents, and decimals.

7)      Use estimation skills in their decision-making processes of which stocks to trade.

 

 

Learning Resource Center Lessons:

               Learning from the Market, lessons 1, 6, 7, 8, 9, 11, 13, 15, 16, 18, 21, 22

               The Stock Market Game Guide, lessons 1, 3, 5, 6, 8, 9, 11, 15, 18

SMG Teacher's Guide to the Internet, activities, 4.2, 4.12, 4.21, 4.30, 4.40, 4.51, 4.62

 

 

 

2.10     Students understand measurement concepts and use measurement appropriately and accurately.

 

Demonstrators:

 

Using The Stock Market Game, students will

 

1)      use time, price and money as units of measurement in the Stock Market Game program

2)      examine price changes from day to day or week to week and measure gains and losses in the value of their investments

3)      use various types of measurements, including, yield, rate of return, risk, interest rates, overpriced/underpriced, and more.

4)      Use S&P, Dow Jones, and other averages to measure their own portfolio values

 

 

Learning Resource Center lessons:

Learning from the Market, lessons 7, 8 16, 18

SMG Teacher's Guide to the Internet, activities 4.21, 4.30, 4.40, 4.62

 

 

2.11     Students understand mathematical change concepts and use the appropriately and accurately.

 

Demonstrators:

 

Students may examine:

1)      relationships of stock price to number of points in price increase for profitability to occur; of broker fees to the price of a stock and the profitability; buying and holding versus churning stocks; interest rates to stock prices

2)      how a change of $10 in price of a stock would change the costs of broker services

3)      the use of a flat broker fee compared to a percentage broker fee

4)      using stock prices and trades in symbolic algebraic equations and working with equivalence, cumulative, association, and distributive properties

5)      change and co-variation

a.      change in broker fee impacts total cost of transaction

b.      change in interest rate impacts margin buying

6)      charts of volume, highs, lows, and trading patterns to determine trends.

 

 

Learning Resource Center lessons:

Learning from the Market, lessons 2, 6, 7, 8, 9, 11, 13, 16, 18, 23

SMG Teacher's Guide to the Internet, activities 4.30, 4.62

 

 

2.13     Students understand and appropriately use statistics and probability.

 

Demonstrators:

 

The Stock Market Game program provides many opportunities for students to collect, analyze, and represent data.

 

1)      Through team work, students identify companies in which they wish to invest.  Prior to the investment of their hypothetical funds, students should collect and analyze information about the identified companies.  Individual and team collections of data about companies are completed prior to the team's final purchase decisions.

2)      Students may compare the stock of individual companies from different industries; stock of companies within an industry, or stock of infant companies versus established/blue chip companies.

3)      Students can graph/chart individual stocks, team portfolios, class investments, and analyze existing online charts.

4)       Students can calculate and analyze means, modes, and medians by team, by individual stock or for the entire class.  They can track stock prices of companies within an industry and identify the outliers, the mean, mode and median.

5)      Through the understanding of relationships such as the inverse of interest rates and stock prices, students can project probable stock price movements and investment trends.

 

Learning Resource Center lessons:

Learning from the Market, lessons 3, 6, 7, 8, 10, 11, 15, 18, 19, 21, 22, 23, 24

The Stock Market Game Guide, lessons 7, 8, 9, 11, 12, 13, 14, 15, 17

SMG Teacher's Guide to the Internet, activities, 4.2, 4.21, 4.30, 4.40, 4.62

 

Goal 5       Students shall develop their abilities to think and solve problems in school situations and in a variety of situations they will encounter in life.

Demonstrators:

1)      Students use critical thinking skills such as analyzing, prioritizing, categorizing, evaluating, and comparing to solve a variety of problems in real-life situations. (Skills used in stock selection and portfolio development.)

2)      Students use creative thinking skills to develop or invent novel, constructive ideas or products. (Create skits, songs, scrapbooks, and Powerpoint presentations about stock market, company information, or stock selections.)

3)      Students use a decision-making process to make informed decisions among options. (Use stock data, industry data, corporate information, and economic data to make informed buy/sell/hold decisions.)

 

Goal 6.      Students shall develop their abilities to connect and integrate experiences and new knowledge from all subject matter fields with what they have previously learned and build on past learning experiences to acquire new information through various media sources.

                   Connections across content areas and with areas outside of mathematics can become increasingly rich as students mathematical knowledge grows.  Students can engage with complex problems that call for knowledge drawn from multiple areas of mathematics and to which various solution strategies might apply.  The Stock Market Game program infuses the disciplines and provides teachers many opportunities to enrich student mathematical understanding as a key force in everyday life.