Other Organizations Chapter 3 Section 3
Objectives You will be able to describe nonprofit organizations You will be able to describe nonprofit organizations You will be able to explain the direct or indirect role of government in our economy You will be able to explain the direct or indirect role of government in our economy
Community & Civic Organizations Nonprofit orgs - promote the collective interests of its members rather than seeking profits Nonprofit orgs - promote the collective interests of its members rather than seeking profits Schools, churches, hospitals, Red Cross, United Way, etc.Schools, churches, hospitals, Red Cross, United Way, etc. Hard to measure their value economically Hard to measure their value economically
Cooperatives (Co-ops) Nonprofit voluntary association Nonprofit voluntary association CONSUMER CO-OP - buy in bulk to keep prices lower CONSUMER CO-OP - buy in bulk to keep prices lower SERVICE CO-OP – provides services like insurance, credit and baby sitting rather than goods SERVICE CO-OP – provides services like insurance, credit and baby sitting rather than goods PRODUCER CO-OP – helps members sell their products (mainly farmers) PRODUCER CO-OP – helps members sell their products (mainly farmers)
Labor Unions An org. formed to represent interests in various employment matters An org. formed to represent interests in various employment matters Collective bargaining: negotiate w / management Collective bargaining: negotiate w / management Largest labor union in US: AFL-CIO (American Federation of Labor- Congress of Industrial Organizations) Largest labor union in US: AFL-CIO (American Federation of Labor- Congress of Industrial Organizations)
Professional Associations Group of people in a specialized occupation that work to improve conditions Group of people in a specialized occupation that work to improve conditions Examples: doctors, lawyers, bankers, teachers, police officers, firemen, etc Examples: doctors, lawyers, bankers, teachers, police officers, firemen, etc
Business Associations Businesses organized to promote their interests Businesses organized to promote their interests Chamber of Commerce — promotes the welfare of its members & the community Chamber of Commerce — promotes the welfare of its members & the community Industry or trade associations Industry or trade associations BBB—Better Business Bureau—provides general info about companies BBB—Better Business Bureau—provides general info about companies
Direct Role of Government Gov’t produces and distributes goods & services Gov’t produces and distributes goods & services FDIC (Federal Deposit Insurance Corporation) insures banks FDIC (Federal Deposit Insurance Corporation) insures banks US Postal Service US Postal Service State & local provide police, fire protection, schools and court systems State & local provide police, fire protection, schools and court systems
Indirect Role of Government Regulate public utilities: investor or municipal owned companies (water and electricity) Regulate public utilities: investor or municipal owned companies (water and electricity) Without regulation, companies would have monopolistic competition and prices would ↑Without regulation, companies would have monopolistic competition and prices would ↑
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