Southwest Asia The Middle East FSMS 7th Grade Social Studies; Unit 3 Production, Distribution & Consumption (Factors Affecting Economic Growth) October 23rd – 26th; Day 38-39 Georgia Standard SS7E7a.b

FIRST FIVE Agenda Message: Deadline for late or missing assignments is tomorrow! Progress Reports go home Nov. 9th. CDA-II is Nov. 10th. Standard: Describe the factors that influence economic growth and examine their presence or absence in Israel, Saudi Arabia, and Iran. E.Q. Thursday, 11/3/16: What is the definition for Entrepreneur and why are Entrepreneurs important in a growing economy? Warm Up: Name two synonyms for a Market Economy? Today We Will: Cover Factor that Influence Economic Growth – Capital & Natural Resources

ANSWERS E.Q. Answer for Thursday, 11/3/16: Entrepreneurs are creative, original thinkers who are willing to take risks to create new businesses and products. Entrepreneurs think of new ways to combine productive resources (natural resources, human capital, and capital) to produce goods and services that they expect to sell for a profit. Warm-Up Answer: Free Enterprise System Capitalism

The Middle East Production, Distribution & Consumption Entrepreneurs Entrepreneurs are creative, original thinkers who are willing to take risks to create new businesses and products. Entrepreneurs think of new ways to combine productive resources (natural resources, human capital, and capital) to produce goods and services that they expect to sell for a profit.

The Middle East Production, Distribution & Consumption Entrepreneurs cont. Israel Israel has created a positive environment for entrepreneurs. Government policies, including the country’s tax structure, encourage entrepreneurship and small businesses. Israel also has a program to train immigrants, Arab- Israelis, and people over 55 to start their own businesses.

The Middle East Production, Distribution & Consumption Entrepreneurs cont. Saudi Arabia Saudi Arabia knows it needs to diversify its economy and is taking steps to help entrepreneurship. For example, it has cut the time it takes for an entrepreneur to make it through government requirements to start a business.

The Middle East Production, Distribution & Consumption Entrepreneurs cont. Saudi Arabia cont. International investors are starting an Entrepreneur Institute in Saudi Arabia that supports new business owners and gives them a place to start a business. Finally, government reforms in Saudi Arabia are making it somewhat easier for small business to get off the ground.

The Middle East Production, Distribution & Consumption Entrepreneurs cont. Iran The number of entrepreneurs in Iran is small, but it’s growing. An Iranian entrepreneur has to overcome many hurdles like; Getting credit from a bank. Many private investors who are wiling to lend money charge a very high rate interest It is also difficult for an entrepreneur to hire good managers for a business because little training is available.

FIRST FIVE Agenda Message: Deadline for late or missing assignments is TODAY! Progress Reports go home Nov. 9th. CDA-II is Nov. 10th. Standard: Describe the factors that influence economic growth and examine their presence or absence in Israel, Saudi Arabia, and Iran. E.Q. Friday, 11/4/16: In which type of economy would entrepreneurs have the greatest amount of freedom to start new businesses? Warm Up: Explain the relationship between investment in human capital and GDP. Today We Will: Cover Factor that Influence Economic Growth – Natural Resources & Entrepreneurs

ANSWERS E.Q. Answer for Friday, 11/4/16: Entrepreneurs would have the most flexibility under a pure Market economy without government restraints, requirements, or interventions. Warm-Up Answer: If a country invests in Human Capital it will experience a growth in GDP which would also lead to an upswing in Standard of Living.