1. Bellringer BACKPACKS AND ID’S
We will have a series of political cartoons to introduce you to various economic systems
On the back of your note packet, number 1-9 and answer the questions at the top of the cartoons
BACKPACKS AND ID’S

2. 1. Who caused the conflict?

3. 1.What can you infer about socialism?
2. Do you feel socialism is a good or bad thing? Explain

4. 3. What can you infer about capitalism?
4. Do you feel capitalism is a good or bad thing? Explain

5. 5. What differences do you see between capitalism and communism. 6
5. What differences do you see between capitalism and communism? 6. In your opinion, which one seems to be a better system?

6. 7. According to the cartoon, do you agree or disagree that capitalism is not working? Explain

7. 9. Who caused the conflict?

9. Economic Geography Economic Indicators and Systems
llhammon Fall 2010

10. What is an Economy?
The way a nation makes choices about how it will use its resources to produce and distribute goods and services

11. Economic Indicators, what are they?
Economic Geography
Economic Indicators, what are they?
They tell how well an economy is performing.
What is GDP?
It is the total value of all goods and services produced by a nation in a year. (GDP = gross domestic product.)
What is GDP per capita?
It reflects the value of goods and services produced in a year in a country by an average person.
What are some other economic indicators?
Average number of automobiles,
Telephones,
Televisions,
Or computers per person
llhammon Fall 2010

12. GDP – Gross Domestic Product (total value of goods and services produced divided by the total population)

14. Economic Systems – 4 Types
Socialist - Syria
Communist – China
Free Enterprise – United States
Traditional – Java, Indonesia

15. Four Types of Economic Systems
Traditional
Free Enterprise
Communist
Socialist

17. Traditional Economies
Village in Bhutan – South Asia
Traditional Economies
Bushmen of Kalahari - Africa
Berbers of Algeria

18. Economic Decisions: Made by customs and traditions.
Production: Based on customs and time-honored methods. New ideas are discouraged
Private Property: None (things are owned by the family or village)
Trade: Very little outside trade because they only make enough to meet their needs.

19. 2 Main Production Methods For Traditional Economies
Subsistence agriculture – growing only enough to feed the farmer and his family.
Cottage industries –weave cloth, make furniture and clothes by hand at home.
These are mostly found in rural, non-industrial areas

20. What are these examples of?
Economic Geography
What are these examples of?
India, Peru, Kenya, Timor
llhammon Fall 2010

21. What are these an example of?
Economic Geography
Loom weaver – India; Jewelry and textiles – Ghana; Pottery – Mexico; Making saris - India
llhammon Fall 2010

22. At the bottom of the page, write one positive and one negative of a traditional economy

24. Free Enterprise = Capitalism = Free Market System
Economic Decisions: Based on supply and demand
Supply – how many there are
Demand – how much consumers will pay
Production: New ideas are encouraged
Ownership: People own their own goods and property with limited government interference
People invest their money in different ways (factories, machines, and land)
Profit???

26. Competition

29. Answer the questions in your packet over competition

33. Two Main Production Methods
Commercial Agriculture - Large scale farming to sell; modern and requires less labor
Commercial industries – goods are manufactured in factories for sale throughout the country or overseas

34. Commercial Agriculture
Economic Geography
Commercial Agriculture
Nebraska, Missouri, India, California
llhammon Fall 2010

35. Commercial Industries

36. In your packet, explain how commercial industries are different than cottage industries

37. In your packet, give two examples of a commercial industry

38. In your packet, explain how commercial farming is different than subsistence agriculture

39. At the side of the section, write one positive and one negative of a capitalist / free - market economy

40. Karl Marx
(born in Germany)

41. Communism (Command Economy)
Economic Decisions: Government makes ALL decisions
Ownership: No private property.
Government owns everything
Cooperation: Cooperation replaces competition
Goal: Classless society – equality among workers

44. At the bottom of the page, write one positive and one negative of a communist economy

46. Socialism (Mixed Economy) Economic Decisions:
Government makes decisions about production, distribution, and use of resources
Other decisions are made privately
Ownership: Government owns major business
Private ownership of everything else
Goal: End poverty by a fairer distribution of income among society. People’s basic needs (health care, transportation, education, housing) are met for free or at very low cost.

47. At the bottom of the page, write one positive and one negative of a socialist economy

48. Economic Systems Market Economy Command Economy Capitalism Communism
On the far right
Command Economy
Communism
On the far left
Socialism
Left of center but right of communism

50. Economic Activities

51. Economic Activities
#1 Primary Economic Activities: economic activities which rely directly on natural resources.
Mining, forestry, farming

52. In the U.S. only 3% of the labor force.
Forestry
Skorpion Zinc Mine, Namibia
Myanmar agriculture rice field
In the U.S. only 3% of the labor force.

53. What 2 types of agriculture would be considered primary economic activities?

54. Economic Activities
#2 Secondary Economic Activities: using raw materials to produce products of greater value.
Rims, car factory, manufacturing plywood

55. Food processing

56. Manufacturing Toy manufacturing in China Car manufacturing in India
England Furniture Manufacturing Plant, USA

57. Refining
Gold Refining
Petroleum Refining

58. What 2 types of industries would be considered secondary economic activities?

59. Economic Activities
#3 Tertiary Economic Activities: economic activities which do not use raw materials, but serve others.
Waiters, doctors, lawyers, customer service

60. In the U.S. – 80% of labor force
Economic Geography
Service Industry
In the U.S. – 80% of labor force
Teachers, truck drivers, retailers, accountants, doctors and nurses, Gnaoua Musician, Morocco
llhammon Fall 2010

61. What are 3 types of tertiary economic activities?

62. Economic Activities
#4 Quaternary Economic Activities: economic activities which focus on information.
Research, government, education

63. What are 2 types of quaternary economic activities?

64. Global Trade (Globalization)
Exports: goods that are sent out of a country
Imports: goods that are brought into a country

67. Impacted by technology
Trade Routes
Impacted by technology

68. Industrial Development

69. Industrialized Countries

71. Development Indicators
GDP/GNP
Women employment
Political Stability
Average Income
Crime Levels
% of Higher Education graduates
Economic Activity
Age Range of Pop
Development
Indicators
Standard of Water pipes
Water Access
Calories per person per day
Electricity consumption
Ratio of doctors per person
Health Care
# of computers per person
Telephone Communication
Death/Birth Ratio
Life expectancy
# of TVs per person