Lesson Plan

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Lesson Plan
Grade: Date: 17/01/2026
Subject: Economics
Lesson Topic: difference between equity and efficiency
Learning Objective/s:
  • Explain the difference between equity and efficiency in an economy.
  • Analyse how policy instruments affect equity‑efficiency trade‑offs.
  • Evaluate at least one policy for its impact on equity and efficiency.
  • Apply the Gini coefficient and Lorenz curve to assess equity.
  • Calculate dead‑weight loss from a tax and discuss its efficiency implications.
Materials Needed:
  • Projector and screen for diagrams.
  • Whiteboard and markers.
  • Handout with Gini coefficient, Lorenz curve, and equity‑efficiency frontier diagram.
  • Calculator or spreadsheet for quick DWL calculations.
  • Policy case‑study worksheets.
 Introduction:
Begin with a quick poll: “Is a perfectly competitive market always fair?” Connect to the previous lesson on market efficiency. State that today’s success criteria are to distinguish equity from efficiency, interpret their trade‑off, and assess policy impacts.
Lesson Structure:
  1. Do‑now (5’) – Students answer the poll question on fairness and share responses.
  2. Mini‑lecture (10’) – Define equity (horizontal & vertical) and efficiency; show formulas and diagrams.
  3. Interactive activity (12’) – Pairs calculate a Gini coefficient from a simple income table and plot a Lorenz curve.
  4. Policy analysis (15’) – Groups examine one policy instrument, fill a worksheet on its equity and efficiency effects, and present a brief justification.
  5. Tax DWL demonstration (8’) – Teacher models tax impact on supply/demand, calculates dead‑weight loss, and links to the equity‑efficiency trade‑off.
  6. Check for understanding (5’) – Exit ticket: write one sentence describing the main trade‑off and a possible mitigation.
Conclusion:
Summarise that equity concerns fairness while efficiency concerns optimal resource use, and policies often shift the balance between them. Students complete an exit ticket stating the most effective policy for minimizing efficiency loss while improving equity. Assign homework to read a short article on UBI and prepare a brief critique.