Happy Monday (said no one ever…) Pick up the “Stand Up and Be Counted” paper from the desk at the front of the room. Using your notes from Thursday, complete the top section only. – According to your personal beliefs and values, rank the six broad social goals in order of importance (1 being the most important, 6 being the least) – BE READY FOR A DEBATE!!! You must be prepared to defend your reasoning.

Which goals go with each system?? Market? Command? Traditional?

Conflict vs. Complement Which broad social goals match up with each economic system? Explain your answers. – Market: Efficiency, Freedom, Growth – Command: Equity, Security, Stability – Traditional: Security, Stability

Circular Flow Model Today’s LEQ: How is a market economy organized?

Economic Interdependence People participate in the economy in a variety of ways – People make decisions as consumers when they purchase g/s – People make decisions as producers when: They provide human & natural resources to businesses Their savings allow businesses to borrow to make investments in capital goods – People make decisions as citizens, especially as voters, that influence the economic decisions made collectively in the economy

Circular Flow Model

ECONO FACTORY

Econoland Recap 1.What did Econos represent in the simulation? 2.How do individuals and families in households depend on people in business? 3.How do businesses depend on individuals and families in households?

Economic Interdependence The U.S. economy is organized around a system of private markets Prices for g/s are determined by the interaction of buyers and sellers This form of economic activity creates a type of interdependence between people in households and people in businesses

Case Study 1.After reading the assigned news article, complete the following analysis: – How will this impact households & businesses? Will they be influenced positively or negatively? – What markets will be influenced? Will they be influenced positively or negatively? – How will this event increase or decrease taxes? 2.Trace the impact of this event on the provided circular flow model.

Are you Picking Up What I’m Putting Down?! Complete the Circular Flow Questionnaire & be ready to share your responses!!!