2. Bell Ringer Answer the following questions in a short paragraph: 1.What is the condition of the US economy right now? 2.Why is it in this condition? 3.How does this affect you or your family?

3. Economic Geography Objective: Students will be able to identify and distinguish b/w different types of economic systems from various regions.

4. What is an Economy? Production or exchange of goods and services by a group What are goods and services? Goods – things to be traded, bought, or sold Services – things people do for others in exchange for payment Labor – work force, the workers

5. What is Supply and Demand? Supply – how much is available from market Demand – how much is wanted by consumers

6. What is the “Law of Supply and Demand”? As supply increases, price goes down. As demand increases, price goes up. How much something costs is mainly a function of these two factors.

7. What are GNP and GDP? GNP – “Gross National Product” Total value of all goods and services by a country over one year. Includes facilities overseas owned by domestic companies. GDP – “Gross Domestic Product” Total value of all goods and services within a country’s borders over one year. This is a good indicator of the size of a country’s economy. Examples (2010 est.) USA – $14.5 trillion Mexico – $1.0 trillion Japan – $5.4 trillion China - $5.8 trillion Sudan - $0.07 trillion

8. What is Per Capita GDP? GDP per 1000 people, how “wealthy” the country is. Roughly the amount of $$$ earned per person in a political unit per year. Similar to “Per Capita Income”, but not exactly the same. Examples? U.S. = $47,000 Mexico = $14,000 Japan = $33,000 China = $7,500 Sudan = $2300

9. What is Infrastructure? Basic support system to keep or start an economy going Roads Electricity Water Airports Ports Trains

11. What are the 4 Economic Employment Sectors? Different levels of employment (jobs) based on variety of factors 1.Education level required to perform task 2.Location (geographic – available resources) 3.Location (to appropriate market)

12. Gathering raw materials – natural resources taken from the earth Example: Mining, Fishing, Farming Primary Employment Sector

13. Manufacturing / Industry - Adding value to raw materials by changing their form Example: Iron changed into an automobiles Secondary Employment Sector

14. Business or professional services Example: teachers, retail salespeople, doctors Tertiary Employment Sector

15. Provide info, research, management, etc. by highly trained personnel Managers, scientists, software designers Quaternary Employment Sector

17. What are the 4 basic types of economic systems? Traditional Command Market Mixed

18. Traditional Economy - Goods and services are exchanged without money -Also called “Barter” -Example: Primitive societies

19. Market Economy Goods and services are determined through Supply and Demand Also called “Free Market Economy” or “Capitalism”. Example: United States, in theory

20. Production of goods and services determined by the government. Also called “Planned Economy” Example: Communist countries Command Economy

21. Mixed Economy Combination of command and market economies Goods and services for benefit of all Example: Japan, Peoples’ Republic of China

23. Economic Stages of Development

24. Least Developed Country GDP: Nearly none – collaped. Per Capita Income: Very Low (less than $1000/yr) Employment Sectors: “Primary” if any at all Infrastructure: Very little to none –Lack of electricity –Lack of clean water –Lack of roads, Airports, Ports Quality of Life: In crisis, collapsed infrastructure and economy. Examples: Afghanistan, Somalia, Haiti

25. Developing Country GDP: Low Per Capita Income: Low Employment Sectors: Mostly “Primary” Infrastructure: Relatively little –Lack of electricity –Lack of clean water –Lack of roads, Airports, Ports Quality of Life: Low, little literacy, nutrition, or medical care Examples: Burma, Jamaica, El Salvador

26. Newly Industrialized Country (NIC) GDP: Low/Medium but increasing Per Capita Income: Low/Medium but increasing Employment Sectors: “Primary” shifting to “Secondary” to varying degrees Infrastructure: Increasing –Things are being built as wealth increases –Long process, very expensive Quality of Life: Still low in most places, but improving in many ways Examples: India Mexico

27. Developed Country GDP: High Per Capita Income: High Employment Sectors: Mostly “Tertiary” and “Quaternary” Infrastructure: Strong –High amount of roads, Airports, Ports –Clean water systems –Electricity available to all Quality of Life: High, with good nutrition, medical care, education

28. Which picture best fits each economic level? Picture A Picture B Picture C Picture D