1. Rock, Paper, Scissors Game

2. The Rules: DO NOT EAT YOUR CANDY!
Two opponents face off at one time.
The winner takes one Hershey kiss from the loser.
You may compete as long as you have at least one Hershey kiss. When you lose all of your candy, return to your seat.

3. Debriefing 1) How did you feel at the start of each round?
2) How did you feel at the end of each round?
3) How did you feel when you ran out of candy and had to quit the game?
4) What could you have done to get back into the game? And what could have been the ramifications.
5) Do you think this game/rounds were fair? Why or why not?
6) Now that the game is over, what action did Kristy take, if any, to make the game fair? Should she have done so? Why or why not?

5. SO what is Capitalism?
An economic system in which factories, equipment, or other means of production are privately owned rather than controlled by the government.
Example – United State of America
The idea that the free market, through supply and demand, will regulate itself if government does not interfere. In fact government should be “hands off” with big business.
•Adam Smith “the” capitalist Wrote Wealth of Nations: felt capitalism good for society = THE BEST ECONOMIC SYSTEM! Because his theory was When everyone is selfish and concerned with personal profit, everyone will benefit.

6. SO what is Socialism
A political and economic theory that advocates ownership of the means of production, such as factories and farms, by the people rather than by capitalists and land owners.
Power belongs to the working class
Ex – China, Yugoslavia (parts of U.S.S.R.)

7. SO what is Communism?
An economic or political system in which the state or the community owns all property and the means of production, and all citizens share the wealth.
Creates a classless society (theoretically
C.Ex – Vietnam, Cuba, U.S.S.R.

8. Marxism They believed they discovered an inevitable pattern
Marx and Engels studied the history of the world’s economies
Communism!!!
Socialism
Capitalism
They believed they discovered an inevitable pattern
Feudalism
Basic Communism 8

9. Communist Manifesto 1848
Focus: Class Struggle (bourgeois-middle class & proletariat- lower class)
Problems within capitalism
Abolition of property
Heavy, progressive taxes
Abolition of inheritance
Confiscation of property of all
emigrants and rebels
Central banking
State-controlled communication and transportation
State-controlled education of the children 9

10. Capitalism
(Market economy)
Socialism
(mixed economy)
Communism
(Command economy)
Ownership and control
Competition
Standard of Living
Individuals control means of production
Market determines what goods will be sold at what price
Basic means of production owned and managed by government
Private ownership, with regulation, of businesses
Government owns means of production
Government determines what goods will be sold at what price
No competition, lower quality goods
Competition keeps prices low and quality high
Cooperation stressed over competition
high standard of living and economic security
Individuals free to earn profits, but may risk losses
high standard of living and economic security
High taxes provide free health care and education
Goal is equality for everybody, enforced by the government

11. Communism/Socialism: What’s the difference?
Socialism is the stage between Capitalism and Communism.
Nationalizes the means of production (i.e. corporations, banks, raw materials, etc.) = gives control of them to the government
BUT: NOT all are equal!
People are paid wages based on several factors (social need, difficulty of job, amount of schooling required, etc.), so not everyone will make the same wage. 11

12. What does any of this have to do with the Industrial Revolution?
Adam Smith’s capitalism dominated the Industrial Revolution which led to bad working conditions.
Karl Marx wrote about communism as solution to capitalism’s problems.
Marx said the workers would get fed up and overthrow their governments and start communism. 12

14. All are Economic Theories
Capitalism
Private ownership; profits; government
stays out of economy
Government plays no role
All are Economic Theories
Socialism
Communism
Everyone Equal, Government controls businesses
Capitalism is bad, Equality
Everyone equal, working class uprising, no government

15. Which economic system is better for society…communism, socialism, or capitalism? Give 2-3 reasons why you think this.

16. HOW DOES THESE THEORIES RELATE TO OUR GAME…?

17. QUESTIONS TO CONSIDER:
Based on this activity, what are some advantages of a Marxist, classless society?
What are some disadvantages?

18. What is good and bad about Communism?
THE ADVANTAGES:
Security, basic needs met.
Everyone would have a job, house, health care, etc.
NO SURVIVAL OF THE FITTEST PROBLEM HERE
Who would support this idea?
THE DISADVANTAGES:
Lack of choice
No reward for being a better worker, slackers get no punishment (lack of incentives and consequences).
Everyone expected to be the same (lack of focus on individual growth).

19. QUESTIONS TO CONSIDER:
Based on this activity, what are some advantages to Adam Smith’s Capitalistic Society?
What are some disadvantages?

20. What is good and bad about Capitalism?
THE ADVANTAGES:
Freedom, choice.
You can work wherever, buy whatever, and pretty much do whatever.
If you’re successful, you can be very successful (Think Bill Gates)
“Survival of the fittest” → only the strong survive in capitalism!
THE DISADVANTAGES:
No “safety net.”
If you fail, you FAIL! The government is not going to save you.
If you’re unsuccessful, you can be very unsuccessful. Think about the poor.
Big gap between rich and poor.

21. SOCIALIST or CAPITALIST?
A child’s lemonade stand
A soup kitchen
A government that provides health care for all citizens
The local fire department
The Dow Jones industrial average increased 15 points (Stock Market)

22. SOCIALIST or CAPITALIST?
You sell a candy bar for 25 cents more than what you bought it for
Yosemite National Park
Ben and Jerry’s Ice Cream Company
The Post Office
Kristy rewards students with A’s on test with candy
Group members all get the same grade on a project

23. Scenario #1
In this economy manufactures of automobiles control the number of vehicles produced each month in a effort to avoid surpluses that would minimize their profits.

24. Scenario #2
In this economy, the government produces it’s signature crab flavored soft drink and determines that it will be sold for $1.25 in all stores.

25. Scenario #3
In this economy, investors can make millions investing in the construction of new homes, but it is just as likely that the value of these properties could decrease by 40% and they will lose millions of dollars.

26. Scenario #4
In this economy, unemployment is around 3% and although taxes are high, all members of the society have access to good schools and hospitals.

27. Scenario #5
In this economy, there are only 3 types of automobiles to choose from. They often break down and they are all painted a light brown color.

28. Scenario #6
In this economy, you are the owner of construction company, but all your materials to build houses is regulated by the government to ensure safe housing for all.

29. Scenario #7
In this economy, the value of goods fluctuates greatly and as a company you must continue to produce quality goods, or risk being out of business.