Free Enterprise

Warm Up What does it mean to be “Free”? Define the word in one sentence and then draw a picture to show you understand the word

Homework: Complete the Study Guide Complete Study Guide by filling out all relevant notes and materials for each term/concept on the study guide

Looking Ahead: Quiz Next Week Quiz in 2 classes: Start Studying Today Be ready for Notebook Check going back to 9/1

Interpret the difference between Macroeconomics and Microeconomics Learning Objectives Interpret the difference between Macroeconomics and Microeconomics Analyze GDP rates of different countries Synthesize Free Enterprise Economy

Macroeconomics and Microeconomics What is a microscope? What does it mean for something to be microscopic? What do you think Microeconomics is? If Macroeconomics is the opposite of Microeconomics, what do you think Macroeconomics is?

Macroeconomics: Study of economics on a larger level Vocabulary Notes Macroeconomics: Study of economics on a larger level Microeconomics: Study of economics on a smaller level

Fun With Whiteboards: MacroEconomics vs. MicroEconomics On your whiteboard, write down whether the topic would fit under Macroeconomics or Microeconomics

Employment Rate= Number of People who have jobs A country’s employment rate

The day to day operations of an individual bank Fun With WhiteBoards The day to day operations of an individual bank

How a company uses their technology Fun With Whiteboards How a company uses their technology

Operations of the US Stock Exchange US STOCK EXCHANGE: Place where a company sells part of its ownership to buyers Operations of the US Stock Exchange

Employee: Someone who works for a company How an individual employee acts at work

Competition between US Businesses Fun with Whiteboards Competition between US Businesses

Analyzing Gross Domestic Product GDP (Gross Domestic Product): The money that a country makes through selling goods and services

Check For Understanding and Remembering Material Is a country’s GDP part of Macroeconomics or Microeconomics? Why? When did we talk a country’s GDP rate before? What did we conclude about that country’s economy? Based on what we know about this country’s economy, do you think that GDP rates are a good way of telling how good a country’s economy is? Why?

China’s Growing GDP Rate

Top Ten GDPs in 2015 (According to International Monetary Fund) 1. Qatar 6. Norway 2. Luxembourg 7. UAE (United Arab Emirates) 3. Singapore 8. San Marino 4. Brunei 9. Switzerland 5. Kuwait 10. USA

Speculating on GDP RAtEs Speculate: To form ideas based on what you think rather than know In 3-4 sentences, speculate on what factors you think play a role in a country’s GDP rate Hints: Consider the following -Geography -Government -Resources -Employment rates -International relations

Factors that Impact GDP RATES Government: Stability and Spending Consumer spending and Confidence Exports/Imports Interest Rates and Banking Sector Value of Exchange Rate Infrastructure Human Capital Technological Development

Act out the word that you are given Charades Act out the word that you are given The rest of the class has to guess the word that you are acting out You can’t talk or draw

What are the seven basic principles of the Free Enterprise System? Warm Up What are the seven basic principles of the Free Enterprise System?

Homework: Complete Study Guide Complete Study Guide by filling out all relevant notes and materials for each term/concept on the study guide

Looking Ahead: Quiz Next Class Quiz Next Class: STUDY, STUDY, STUDY!!! Be ready for Notebook Check going back to 9/1

Engage in Collaborative Learning Learning Objectives Engage in Collaborative Learning Synthesize material from Economic Systems-Free Enterprise Enhance Studying Skills

The Surging Hispanic Economy After reading the article, answer the following questions: -Write down 5 vocabulary words from the article that you don’t understand. Look them up and define them -Why is this article called The Surging Hispanic Economy? -What do Nationwide Statistics, from 1990-2003, tell us about the income of Latinos? -What examples of Hispanic entrepreneurs does the article give? -This Article focuses on Charleston, S.C.- Do you think it would be different if the author focused on California? Why or Why not?

Kahoot.It THIS IS ONE TIME THAT YOU WILL BE ALLOWED TO USE YOUR CELL PHONES Login to Kahoot. It Enter your name Plug in the Pin Code that I will show you Winner= 10 points extra credit on quiz 2nd Place= 7 points extra credit 3rd place= 5 points extra credit

Jeopardy You will be divided into groups Your group will pick a question from one of the different categories and then pick how many points you want to go for in that category If your group gets the question wrong, it goes to the next group Your whole group will lose points if you violate any class norms or complain!!!

Quiz II Review Worksheet Fill out the Quiz II Review Worksheet

Warm Up Get ready to take quiz and have your Notes going back to 9/1 ready for me to check

Homework: Speculating about the Future In one paragraph, write about what good or service do you think is going to be in the highest demand? Explain why you think this

Enhance Quiz-Taking Skills Analyze how Demand impacts Economics Learning Objectives Enhance Quiz-Taking Skills Analyze how Demand impacts Economics Engage in Collaborative Learning

Quiz Take Quiz

Demand: How much someone wants something and is willing to pay for it Analyzing Demand Demand: How much someone wants something and is willing to pay for it Law of Demand: People will buy more of something when it is cheaper Substitution Effect: Consumers will buy less of something if there is an increase in the good’s price

Warm Up What good or service do you think has the highest demand in the market? How does pricing of goods and services impact the demand for the product? Can you think of any products in which we have seen the Substitution Effect take place?

Homework: Speculating about the Future In one paragraph, write about what good or service do you think is going to be in the highest demand? Explain why you think this

Interpret the article: The Surging Hispanic Economy Learning Objectives Interpret the article: The Surging Hispanic Economy Analyze Factors that impact the Demand of a good/service Build connections between Ethics and Economics

Return to Article Write down 5 vocabulary words from the article that you don’t understand. Look them up and define them Why is this article called The Surging Hispanic Economy? What do Nationwide Statistics, from 1990-2003, tell us about the income of Latinos? What examples of Hispanic entrepreneurs does the article give? This Article focuses on Charleston, S.C.- Do you think it would be different if the author focused on California? Why or Why not?

Factors that can change the demand of a good/service Price People’s Income Consumer expectations about the future Population/Demographics Consumer tastes and Advertising: Trends, Media, Advertising

Check For Understanding Rank the Factors that can change the demand of a good from most impactful to least impactful Be ready to explain why you ranked the factors in the way that you did

Normal and Inferior Goods Normal Good: Good that consumers demand more of when the income of the consumer increases Inferior Good: Good that consumers demand less of when the income of the consumer increases Create a list of 5 goods that you would consider Normal and Inferior Goods

Necessities vs. Luxuries: Discussion What did we say a need is? What is a necessity? Identify three examples What did we say a want is? What is a luxury? Identify three examples What goods can you think of that used to be luxuries but are now considered necessities? What is ethics? How could demand become an ethical issue?

Weekly Vocabulary Sheet Complete the Weekly Vocabulary Sheet

Warm Up What is Ethics? How could the demand for a product become an Ethical issue?

Enhance Public Speaking skills Learning Objectives Enhance Public Speaking skills Interpret the connection between Ethics and Economics Engage in Collaborative Learning

Homework Go over Homework: What good/service do you think is going to be in the highest demand in 20 years from now? Why do you think this? Each person will share in front of the class We will vote on which person we think has the best argument for which good/service will be in the highest demand in 20 years The winner will get extra credit on their homework

Ethics and Demand Ethics: Difference between right and wrong Total Revenue: The total amount of money a firm receives by selling goods or services Do you think it is ethical for a producer to charge a lot of money for a good or service that is in high demand because people need it? Why or why not? Do you think it is ethical for a producer to charge a lot of money for a good or service that is in high demand because people want it? Why or why not?

Producers: Revenue vs. Ethics Think about the following producers: Which can expect a revenue increase from higher prices and which can expect a revenue decrease from higher prices. Be ready to explain why you think this: Pharmaceutical Companies Entertainment Software Companies PG&E Sportswear Manufacturer

You are the Producer-Skit In groups of 2-3 people, create a skit in which you show how ethics can impact the production of certain goods or services Roles: Producers, Consumers, Economists, etc. Be sure to explain in your skit how an ethical dilemma is being shown Be prepared to act out your skit for the class (2-3 minutes)

Check For Understanding Is it the job of producers and businessmen/women to be ethical when selling products? Why or why not?