1. Miss Smith 7th Grade Civics *pgs. 476-481
American Production
Miss Smith
7th Grade Civics
*pgs

2. What are Goods and Services?
Produced by a country’s economy
Goods- manufactured items that consumers can buy and own
Services- products that are not physical objects
Gross domestic product (GDP)- dollar value of all goods and services produced annually in the U.S.
Used to measure how well the economy is performing
How are goods and services different from one another? Goods are things that are made and that consumers can buy and own; services are things that people do
How do you think the economy might be affected if there was a shortage of goods or shortage of workers to perform services? The economy would not do well and consumers and producers would suffer

3. Mass Production of Goods
Mass production- rapid production by machine of large numbers of identical objects
What is mass production? The rapid production by machine of large numbers of identical objects
Why is developing machine tools that produce exactly identical parts so important to a system of mass production? Each worker can then monitor one machine, allowing specialized workers to work faster and more efficiently, and a single worker can do that final assembly of the finished product
What are some benefits of mass production?
Can you foresee any problems with mass production?

4. Modern Mass Production
An assembly line moves products through stages of production until it is completed

5. Mass Production Worldwide
Command economies are less successful in mass production
The gov. decides how many goods and services to produce and sets the price
This means less profit for citizens which decreases productivity
This results in less money to improve factories

6. Performed directly on consumers
Personal Services
Performed directly on consumers
Ex: medical care, hair salons, personal fitness, etc.

7. Performed on goods you own
Repair Services
Performed on goods you own
Repairs, maintenance, etc.

8. Other Services Retail and entertainment services
Banking and financial planning
Legal services
Insurance
How do personal services differ from retail services? Personal services are those performed directly on consumers themselves, such as medical care or golf lessons; retail services are those that sell items to consumers
Do you think the service sector in United States will continue to make up a significant portion of the economy? Why or why not?