teacher page borders and power presentation this presentation is shorter than some others by design....
TRANSCRIPT
Teacher Page
BORDERS AND POWER PRESENTATION
This presentation is shorter than some others by design. This section will take a lot more time on the teachers part explaining and using examples. Students need to see a lot of practial application of these terms, use their real life as examples to help them understand wherever possible.
•Topic A – What is Economics?
•Topic B – Types of Economics
Activity 17:1 – Classify Economies
Activity 17:2 – Economic Systems Quiz
Activity 17:3 – M&M Economics
Activity 17:4 – Shoe Factory Economics
Activity 17:5 – Traditional vs. Industrial Economies
Activity 17:6 – Two Cows Economics
Overall Objective: Students will understand the processes that influence political divisions, relationships and policies.
Essential Questions
How do different societies around the world meet their
economic need?
What are the advantages and disadvantages of each economic
system?
Important Ideas•Economics is a study of how people meet their basic needs.
•All societies must answer three questions:
What should be produced?
How should it be produced?
Who gets what is produced?
•The answers to these questions determine its type of economic system.
•Specific countries can be classified by the type of economy they have.
What is economics? Lets go with this definition:
“Economics is the study of how individuals, businesses, and nations make things, buy things, spend money, and save money.”
Can you think of one word or maybe a phrase that
simplifies this definition? If not, can you at least
make it easier to understand? Give it a try!
The Problem of Scarcity
•Economics involves a lot of math, but it also depends a lot on human behavior. It is hard to predict what people will do with their money.
•Scarcity is an economic problem. When something is scarce, we do not have enough of it.
•Since people always want new and different things, it will be impossible for a society to make enough to always fill every need. Therefore, scarcity will always be an economic concern.
I want a cell
phone
3 Years ago
I want an
Iphone 4
1 Year ago
I want an
Ipad
This Year
We will always want the next thing!
Goods Things people make.
This could be a factory or in some
sort of cottage industry
Things that people do for others.
Services
Lets say you had ten billion dollars? Do you think you could end the problem of scarcity in the world? Why or why not?
Lets make sure you know a few key terms before we go any further:
Economics boils down to three basic questions:
The answers to these questions determines the economic system
Traditional Economy
Free Enterprise
Communist System
Socialist System
What should be produced?
Who should get it?
How should it be
produced?
Traditional Economy
Custom and Tradition
determine what will be produced.
People are free to take part in any
legal business, buy or sell any legal
product.
Often there is no private property; things are often
owned by a family or village in common.
The production of goods is based on custom and time
honored methods; new ideas are often
discouraged.
So how does this look?
Subsistence Agriculture
The people in traditional economies usually only grow enough food to feed their family or village. Any animals they keep are used in the same way, gathering milk and eggs as a source of food. Many people use subsistence
fishing as a means of support as well.
Amcaja, Creative Commons 3.0. July 2005.
Subsistence Fishing in Sri Lanka (Near India)
Subsistence Farming in Sub-Saharan Africa
So how does this look?
Cottage Industry
In traditional economies, people often create handmade products such as clothes, furniture or other products that
can be sold or traded to help sustain their families or village. During times of the year where crops are not
plentiful, this can help a family survive.
Today, there are very few traditional economies left in the world. However, there are individual families or small groups, even in the United States, that practice that way of life.
Berber Tribe in Algeria Bush People of the Kalahari Desert
Hunters in Tanzania Most cultural groups that practice traditional economies do so by choice. Though it may seem
foreign to us, it is the oldest type of economy in the world.
Free Enterprise System
People have the right to own private
property with limited government
interference
Goods and Services are produced to
meet the needs of the members of the
family or tribe.
The ability to make profits is what
drives people to risk their money in starting new
business.
The interaction of supply and demand determines prices in
a free market economy .
So how does this look?
Commercial Agriculture and Industry
Unlike cottage industries or subsistence farming, commercial businesses are designed
to generate profit. Technology in every industry, including agriculture, is developed in
response to this need for profit.
Hinrich. Creative Commons 2.0. September 2008.
Most every major democracy in the world practices some form of the free enterprise system. People
often call it capitalism. Most of the stronger economies in the world promote the free enterprise system (US, Great Britain, France, Chile, Canada,
Japan, Germany, Singapore, etc.).
The interaction of supply and demand determines prices in a free market economy .
Democracy
Communism
All major decisions on production,
distribution and the use of resources are
made by the government.
Private property is abolished; national ownership of the all
land, factories, farms, and major
resources.
Communism is based on
cooperation; all workers should join together and share
equality.
The goal is to achieve a classless society – equality
among all workers.
So how does this look?
Communist Factory
A factory in a communist system would often make one item which would be the same for everyone. Typically, the government might decide which car
everyone would drive, what kind of clothes they might wear, etc. All industrial decisions were made to be what was “best for the people”. All factories had
controls put on them from the government.
The Zaz
The most well known communist government in history was the Soviet Union. This was a group of countries, including Russia, that formed together to be the largest in the world. The government of Soviet Union collapsed in 1989, and today Russia and the other countries abandoned communism for a more free system. Today, China, North Korea, Cuba and Vietnam all maintain communist systems, but many of those governments, especially China, have allowed some economic freedom within their society.
Socialism
The government should end poverty by taking control of the
nation’s resources and providing public
services.
The government makes decisions
about production, distribution, and use of resources Other decisions are made
privately.
Major industry is owned by the
government. Other property is held
privately.
Socialism seeks a fair distribution of income. People’s basic needs are
made for free or at very low cost.
So how does this look?
Socialism is very similar to communism in many of its philosophies, but socialism
promotes private ownership of small businesses. A small
factory could be owned by an individual, but a large industry that is essential such as banks,
airlines, mines, etc. must be controlled by the government,
which would provide the people with the services they
needed to survive.
Government Owned Large Factory
Privately Owned Small Factory
Sweden and Israel base there economies on the idea of socialism, but they do have
elements of free enterprise as well. Many countries throughout Europe have socialist
elements, but they have began to move toward more private ownership over time.
No country or region of the world practices one single type of economy.
Depending upon a lot of different factors, each country blends these
different economic systems together.
If a country is ruled by a totalitarian government
system what type of economy are they likely
to have?
If a country has a democratic government
system what type of economy are they likely
to have?
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