Lesson Plan

Resources → Subject Notes → Economics → Notes
Lesson Plan
Grade: Date: 17/01/2026
Subject: Economics
Lesson Topic: The macroeconomic aims of government: redistribution of income
Learning Objective/s:
  • Describe the purpose of income redistribution and its macro‑economic aims.
  • Explain how progressive taxes, direct transfers, subsidies and public services affect income distribution.
  • Analyse the impact of redistribution using the Gini coefficient and Lorenz curve.
  • Evaluate the trade‑offs between equity and efficiency in redistribution policies.
Materials Needed:
  • Projector and screen
  • Whiteboard and markers
  • Printed worksheet with tax‑bracket calculations
  • Handout summarising Gini coefficient and Lorenz curve
  • Calculators for each pair of students
  • Exit‑ticket slips
 Introduction:

Begin with a recent headline about rising income inequality to hook interest. Ask students what they already know about how governments intervene in the economy through taxes and welfare. Explain that today they will identify the aims of redistribution and the tools used, and they will be able to assess whether those tools succeed.
Lesson Structure:
  1. Do‑now (5'): Quick write – “Why might a government want to intervene in the market?” Collect responses.
  2. Mini‑lecture (10'): Define redistribution, present reasons (inequality, social justice, demand, stability) with slides.
  3. Taxation activity (15'): In pairs, use the three‑band tax formula to calculate tax payable for different incomes; complete worksheet.
  4. Transfers & subsidies discussion (10'): Match examples (unemployment benefit, housing subsidy, etc.) to “direct” or “indirect” categories on handout.
  5. Measuring impact (10'): Interpret a sample change in Gini coefficient; draw before/after Lorenz curves on whiteboard.
  6. Trade‑off debate (10'): Small groups argue “Efficiency vs Equity” using provided prompts; teacher synthesises key points.
  7. Check for understanding (5'): Exit ticket – one benefit and one drawback of progressive taxation.
Conclusion:

Summarise the main tools of redistribution and how their impact is measured. Collect exit tickets to gauge understanding and assign homework: research a real‑world policy (e.g., universal credit) and write a short paragraph on its intended redistribution effect and possible trade‑offs.