1. Tuesday Warm-Up In your warm-up section:
What comes to mind when you see the word ECONOMY?``````````` ` ` ` ` ````````````````````````````````````

2. WHAT IS AN ECONOMY?
An economy consists of the production, distribution or trade , and consumption of limited goods and services by individuals in a society

3. ECONOMIC SYSTEMS OVERVIEW
Economic Systems Video

4. Sign in to Google Classroom and open the assignment for today
ECONOMIC SYSTEMS
Sign in to Google Classroom and open the assignment for today
Read the information sheets about the economic system
Complete the graphic organizer for each system
Glue your completed graphic organizer into your notebook

5. TRADITIONAL ECONOMY
All economic activity comes from rituals, habits, or customs
ADVANTAGES
Everyone understands what role to play in society
Hunters – Hunters
Farmers - Farmers
DISADVANTAGES
Discourages new ideas
Leads to lower standard of living

6. COMMAND ECONOMY All economic decisions are made by the government
ADVANTAGES
Can shift resources in short amount of time
Everyone has access to health and public services
DISADVANTAGES
Does not always serve the wants of the people
Does not give incentive to work hard
Requires a large bureaucracy
Does not change easily
Citizens cannot “get ahead” in this type of economy

7. MARKET ECONOMY All economic decisions are made by buyers and sellers
ADVANTAGES
Can adjust to change
Individual freedom
Limited government interference
Decisions made by consumers
Wide variety of goods are produced
High consumer satisfaction
DISADVANTAGES
Does not provide services for everyone
Cannot provide all services – gov’t must provide with tax dollars
High degree of uncertainty
Can fail if certain conditions aren’t met

8. MIXED ECONOMY
Most economies in the world are mixed. There are no true market economies.