1. ECONOMICS

3. VOCABULARY TERMS TO KNOW Economics Free market Profit Scarcity Capital Law of supply Law of demand Free enterprise monopoly

4. GALLERY WALK TO GET YOUR VOCAB As you QUIETLY move around the room, write –Word – easy definition –sentence

5. EXIT SLIP How are you affected by the economy? How do you participate in the economy?

6. “HOW DO ECONOMIC SYSTEMS HELP SATISFY PEOPLE’S NEEDS (AND WANTS)?” The nature of economic systems varies widely from place to place All systems help people obtain the goods and services they need (and want) 3 types: –Traditional –Command –Market **most countries use a mix of these

7. TRADITIONAL ECONOMY Based on how activity has occurred in the past People either grow and make what they need, or trade to obtain what they can’t make or grow Trade may or may not rely on money; may use the barter system Examples: SE Asia, parts of Africa, historically this is how most economies were

8. COMMAND ECONOMY Government makes all economic decisions Government owns/controls all means of production –capital, tools, production equipment, factory, usually land –What to produce, how much, and price Examples: China, North Korea, Cuba (USSR) Communism and Socialism

9. MARKET ECONOMY Economic decisions made by individuals looking out for their best interests Privately owned businesses-capitalism –Profit, supply/demand and competition determine price, free enterprise Based on the idea of free market Example: The US-mixed market economy; free enterprise with government regulations for protection of the consumers.

10. AMERICAN ECONOMIC FREEDOMS Freedom to compete Freedom to own property Freedom to buy and sell Freedom of workers to compete for jobs Freedom to earn profits

11. COMPARE AND CONTRAST Compare and contrast the US economy with an example of a command economy (your choice). Work today, due tomorrow. Venn diagram, drawing, essay…your choice just show the difference Research to get more information than what is in your notes.

12. ECONOMIC CONCEPT COLLAGE Choose concept or economic system (think vocabulary) Search newspapers/magazines for pictures to create a collage that shows that idea. Due Tuesday