Lesson Plan

• Describe the characteristics of the short run, long run and very long run in economic analysis.
• Explain how the chosen time horizon influences cost structures, supply elasticity and market outcomes.
• Analyse the differing impacts of policy measures (e.g., taxes) across the three time periods.
• Apply appropriate diagrams (cost and supply curves) to illustrate short‑run versus long‑run concepts.
• Evaluate exam strategies for explicitly stating the time period when answering essay questions.

• Projector and screen
• Whiteboard and markers
• Printed handouts of short‑run and long‑run cost‑curve diagrams
• Worksheet containing a comparison table of the three time horizons
• Calculator (optional)
• Sticky notes for group brainstorming

Start with a quick poll: “When a new tax is introduced, what changes do you expect in the short run?” Connect responses to prior knowledge of fixed versus variable costs. Explain that today’s success criteria are to identify the three time periods, explain their economic implications, and use correct diagrams to support analysis.

1. Do‑now (5') – Students list examples of short‑run constraints on production.
2. Mini‑lecture (10') – Present definitions of short run, long run, very long run and discuss why the time horizon matters (costs, supply, policy).
3. Guided practice (12') – Using the worksheet, students fill in a comparison table of inputs, cost structures and adjustment mechanisms for each horizon.
4. Diagram activity (10') – In pairs, draw short‑run and long‑run cost curves, label fixed and variable cost components, and discuss elasticity differences.
5. Policy case study (8') – Small groups evaluate the impact of a tax on a bakery in the short run, long run and very long run; each group presents a brief summary.
6. Check for understanding (5') – Quick Kahoot quiz or exit‑ticket question: “State one key difference between the short run and very long run.”

Recap the three time periods and their influence on costs, supply and policy outcomes. Students complete an exit ticket summarising one real‑world example that illustrates a very‑long‑run change. Assign homework: a short essay analysing the short‑run and long‑run effects of a recent government subsidy.