1. The Economy
Ch. 2
Sec. 3 Pp

2. The American Economy
Economy – system for producing and distributing goods and services to fulfill people’s wants
Consumer – uses goods and services
Most people are both consumers and workers
Market - where we exchange goods and services
Price – what you pay for goods and services

3. American Economic Freedoms
Buy and sell
Compete
Own property
Choose an occupation
Make a profit

4. America’s Economy and You
Buyers and sellers meet face to face in stores
We are workers and consumers
Freedom is the cornerstone of our economy
You have the freedom to make choices
Rules of our economy based on idea of fairness

5. Questions Most people in our economy are both consumers and
a. producers.
b. workers.
c. sellers.
d. buyers.

6. Questions
What value forms the cornerstone of the American economic system?
a. justice
b. profit
c. freedom
d. equality

7. Questions In our economic system, we can a. make a profit.
b. own property.
c. compete with others.
d. all of the above

8. Questions A benefit of the American economy is that people can
a. have any job they want.
b. have lots of money.
c. buy anything they want.
d. pursue a chosen lifestyle.

9. Questions The American economic system is based on freedom and
a. fairness.
b. patriotism.
c. exchange.
d. diversity.