1. Introduction to Business Chapter 11 Government in Our Economy
Essential Question: How does the government regulate our economy and provide structure for businesses to create commerce?

2. Objectives:
1.2 Business Environment (C): Students will understand the development and structure of business environments. They will demonstrate competency by identifying the dynamic components of business structure and its relationship to the global business environment.
1.2.2 Business Law–describe the sources of law, the structure of the court systems and ways in which these laws apply to basic consumer and business transactions.
1.2.8 Interrelationships of Business Operations–discuss the interrelationships between different business lines as they relate to finance, tax, operations, human resources, marketing, production, management, and the legal environment.

3. Chapter Objectives Explain the protection provided by the government
Explain the methods used by the government to regulate our economy.
Describe how government assists business.
Recognize the role of government in producing goods and services and hiring workers.
Explain the two ways government raises money.

4. Our Government—Federal, State and Local p. 145
Interstate commerce
The Constitution gives the federal government the power to regulate foreign and interstate trade.
United States Constitution (Article I, Section 8, Clause 3). The United States Congress shall have power "To regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes".
Intrastate commerce.
State governments regulate commerce within their borders.

5. Our Government—Federal, State and Local p. 145
We the People of the United States, in Order to form a more perfect Union,
establish Justice, (Courts)
insure domestic Tranquility, (Police)
provide for the common defence, (Military
promote the general Welfare, (Commerce) and
secure the Blessings of Liberty (Wealth) to ourselves and our Posterity,
do ordain and establish this Constitution for the United States of America.

6. Government protects rights of citizens. p. 146
Contract
An agreement to exchange goods or services for something of value.
Contracts are valid and enforceable contracts that have the following.
See fig 11-1 p. 146
Agreement—offer and acceptance
Competent Parties—parties must be mentally competent
Consideration—Something of value must be exchanged.
Legality—Must be for a good or service that is legal.
Intellectual property rights.
Patent—Exclusive right to use invention for 17 years
Copyright—protects creative works if authors, artists and composers.
Trademarks—word, letter or symbol associated with an enterprise.

7. Government Regulates Businesses. p. 148
Public Utilities.
Provides public service that is vital to all people, therefore government regulates.
Will set rates if company is a monopoly.
Unfair business practices.
Government attempts to promote fair competition.
Antitrust laws prohibit certain types of monopolies

8. Government assists businesses. p. 149
Federal
Small Business Administration—Loans, planning etc…
Department of Commerce—regulatory
Department of Labor--Labor practices.
State
Department of Business Regulation
Secretary of State
Economic Development Council
Local
Zoning Board

9. Government purchases products and services p. 150
Contracts to local vendors to supply services.
Materials
Manpower

10. Government hires workers. p. 150.
Government provides services:
National Defense
Police
Social Services
Parks and Recreation
People are hired to fill these jobs and more.

11. Government raises money. p. 150.
Taxes.
Income Taxes.
Paid through payroll withholding or quarterly payment.
Property Taxes
Paid to local municipality by property owners.
Sales Tax
Paid through transactions in commerce
Borrowing.
Government Bonds.
Backed by the full faith and credit, specified or implied.
Investors purchase bonds, government gets cash, promises to pay back with interest.

12. Assignments Do Now Workshop Discussion
Calculate business data p.154 #29
Calculate business data p.154 #32
Read example and calculate answer in an Excel spreadsheet, show your work. Give a short explanation as to your answers.
Workshop Discussion
Communicate Business Concepts questions p.152.
Discuss article with your group and write a brief answer to both questions

13. Homework Define Key Terms Develop your Business Language p. 153.
Answer Review your reading questions p.152.
Study for test.