Vocabulary Migration- People moving within a country. (Mr. Mason now lives in NC) Immigration- People moving into the U.S. Downsizing- When a company cuts production/employees in order to cut its costs. Outsourcing- When a company pays another company to perform tasks it previously did itself.

review How does our government regulate businesses to ensure our environment is being protected? How does our government regulate business to ensure worker and consumer safety? What are the pro’s and con’s of Affirmative action? What role has the government taken in regard to labor disputes? What happens when the government stops or decreases regulation?

Warm Up? Can you think of any current events that may affect the economy? Think of the Island of Mocha. War on Terror, Middle East violence, natural disasters

1.Trevor goes to renew his car tags but is told that he cannot b/c his car doesn’t meet emissions standards since the car puts out too much pollution. Trevor’s car fails to meet standards that were likely put in place because of what? A.A recession B.Environmental concerns C.Scarcity D.Zoning laws

Impact of Population Shifts

Population Shifts Migration – Movement of people within a country Immigration – People moving into the U.S. from another country More people are leaving the populated areas of the North for the South and western states. – Leaving the “Rust Belt” and the “Frost Belt” – Moving to the “Sun Belt” Initially, this can cause problems but will eventually lead to economic growth.

Areas of Increasing Migration Silicon Valley (Central California) – Center of the computer industry. Research Triangle Park (Raleigh) – The largest research park in the world. Service industries benefit in these areas because as population increases, so does the demand for goods and services.

Impact of Current Events What happens in the world around us (wars, political unrest, etc.) affects us economically. The War on Terror – In addition to the tragic loss of life those events had an economic impact as well. – Instability effects peoples willingness/confidence to spend Fewer spending means less $ for businesses, which affects production, which affects prices, and so on… Airline Industry – Department of Homeland Security Created to establish confidence and stability in airline industry and in nations defenses against terrorism

The War on Terror – Patriot Act Increased law enforcements ability to track and investigate terrorist plots – Operation Iraqi Freedom US led international force invaded Iraq to bring down Saddam Hussein These events all have economic/political consequences – Instability in the Middle East causes a rise in gas prices, which causes a rise in price for almost all other products – Terror alerts may cause people not to fly

Natural disasters Hurricane Katrina 2005 Tsunami in Japan 2011 Tornadoes rip through the south 2011

Legal Decisions Anti-Trust Laws – What do these laws prevent? Monopolies – The government uses anti-trust laws to break up monopolies. What affect does this have on the market? When consumers have options the prices of goods decrease and the quality of goods and efficiency of production increase. – Microsoft One of the most recent anti-trust cases

Outsourcing and Downsizing Downsizing – Reduction of employees or operations – This has a negative affect on entire towns/cities or geographic regions as well Detroit auto manufacturers and NC textile and furniture ind ustries Outsourcing – Businesses pay outside firms to perform tasks that the company would have originally done itself

Reflection Summarize the difference b/w migration and immigration. Why are people leaving the “rust belt” and the “frost belt” to move to the “sun belt”? How are service industries impacted by an increase in population in certain areas? How does war impact the economy? How do natural disasters impact the environment? How has outsourcing and downsizing impacted our environment?

Closing? Focus Question: Do the benefits of raising the minimum wage outweigh the drawbacks?