1. Basic Concepts of Democracy
Chapter 1 Section 3

2. “The best argument against democracy is a five minute conversation with the average voter.”
-Winston Churchill

3. The Basic Notions
Democracy, more than most other forms of Government, has more components and requires more from its citizens.
Therefore, Democracy is much more labor intensive

4. The Basic Notions
In our American form of Democracy, there are five basic notions that we need to embrace:
A recognition of the fundamental worth of dignity of every person.
A respect for the equality of all persons.
A faith in majority rule and an insistence upon minority rights.
An acceptance of the necessity of compromise.
An insistence upon the widest possible degree of individual freedom.

5. The Basic Notions
A recognition of the fundamental worth of dignity of every person.
Remembering that each person is a separate and distinct being.
Keep this in mind as we often sacrifice individuality for the greater common good. (Give Examples)

6. The Basic Notions A respect for the equality of all persons.
Similar to our previous point, this stresses the importance of the individual.
This was established early on in the words from Thomas Jefferson “All men are created equal”
Equality through Democracy has two key principles:
-Equality of opportunity
-Equality before the law

7. The Basic Notions
A faith in majority rule and an insistence upon minority rights.
Majority rule is an important premise within our society. If the majority don’t rule than it is no longer representative of the people.
This doesn’t mean, however, that the minority goes without say or without protections.
The solutions of congress should appeal to most, but will not appeal to all.

8. The Basic Notions An acceptance of the necessity of compromise.
With an emphasis on the individual, compromise is essential to govern the masses.

9. The Basic Notions
An insistence upon the widest possible degree of individual freedom.
Individual freedom vs complete freedom
(“The right to swing my fist ends where the other man’s nose begins”)
We should understand that the struggle to balance individualism with other societal needs will be constant and never ending

10. So In Review
A recognition of the fundamental worth of dignity of every person.
A respect for the equality of all persons.
A faith in majority rule and an insistence upon minority rights.
An acceptance of the necessity of compromise.
An insistence upon the widest possible degree of individual freedom.
Is this in theory or in practice?

11. Democracy and Free Enterprise
Many of the same basic notions translate to our economic system as well.
Its important to note that while similar, forms of government are different than forms of economic systems.

12. The Free Enterprise System
What we are said to have is a free enterprise/free market/ capitalist system.
There are four keys to this system:
1) Private ownership
2) Individual initiative
3) Profit
4) Competition

13. The Laws of Supply and Demand!
Take Economics!
Macro/Micro
Adam Smith- Wealth of Nations

14. Is It Really A Free Enterprise System?
What we are said to have is a free market/free market/ capitalist system.
There are four keys to this system:
1) Private ownership
2) Individual initiative
3) Profit
4) Competition
But what about government regulation?

15. Mixed Economy
We recognized that there are certain things the government should have authority to regulate.
Thus certain industries and markets are affected by artificial means (governmental intervention) (see price ceilings and floors)