Lesson Plan

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Lesson Plan
Grade: Date: 17/01/2026
Subject: Economics
Lesson Topic: direct provision
Learning Objective/s:
  • Describe the concept of direct provision and its role in correcting market failures.
  • Explain the conditions under which direct provision is preferred over subsidies or regulation.
  • Analyse the advantages and disadvantages of direct provision using economic indicators.
  • Apply the MSB = MSC criterion to evaluate the optimal quantity for a publicly provided good.
  • Evaluate policy outcomes through KPIs such as coverage, quality, cost‑effectiveness, and equity.
Materials Needed:
  • Projector and screen for diagrams
  • Whiteboard and markers
  • Handouts summarising MSB/MSC and KPI tables
  • Case‑study worksheet on public primary education
  • Calculator or spreadsheet for cost‑effectiveness calculations
 Introduction:
Begin with a quick poll: “Which public services do you use every day?” Use responses to highlight goods that the market may not provide efficiently. Explain that today we will explore why governments sometimes supply these services directly and what criteria guide that decision. Success will be measured by students’ ability to articulate the rationale and evaluate outcomes.
Lesson Structure:
  1. Do‑now (5'): Students list examples of public services and share briefly. (5')
  2. Mini‑lecture (15'): Define direct provision, present the MSB = MSC diagram, and discuss market‑failure conditions. (15')
  3. Group analysis (20'): Teams work through a case study on public primary education using the implementation steps and complete a worksheet. (20')
  4. Whole‑class discussion (10'): Compare direct provision with subsidies and regulation using the provided comparison table. (10')
  5. KPI activity (10'): Calculate coverage rate and cost‑effectiveness for a sample data set; discuss equity impact. (10')
  6. Exit ticket (5'): Write one advantage and one drawback of direct provision. (5')
Conclusion:
Summarise how direct provision can move output toward the socially optimal level but may introduce bureaucratic costs. Ask students to complete an exit ticket stating one key insight and one lingering question. Assign homework: read a short article on performance‑based contracts and prepare a brief critique.