Download Objective : Students will determine why the United States is not pure

Objective : Students will determine why the United States is not pure capitalist and identify fiscal policy.
Agenda:
warm up
CE
NOTES-review Capitalist/Communist/Socialist Market/Command/Traditional
Reading chapter 21-3
Why is the U.S. not pure Capitalist? Because Social Services are provided
Why is the US not pure Market? Because of Regulatory Agencies who monitor
businesses and the government involvement in the economy.
The United States also manages the economy through FISCAL POLICY
The President and Congress raise and lower taxes and raise and lower spending to make
the economy better:
DEPRESSION: A downturn in the economy lasting a long period of time. High
unemployment, drop in the amount of goods produced (GDP)
RECESSION:
A downturn in the economy lasting a short period of time. High
unemployment, drop in the amount of goods produced (GDP)
If the economy were in a depression or recession the President and the Congress may
use Fiscal policy to help the economy get better.
For example, in order to get people more money in their pockets, the Congress
and President may lower taxes
For example, in order to help the people who have lots their jobs, the Congress
and President may provide more unemployment benefits
The economy always gets better…..this is called THE BUSINESS CYCLE
The up and down movement in the economy-from recession –depression-recovery
Reading ch 21-3--social services
Students will read chapter 21-3 and complete a guided reading activity.
NAME__________________________________
Fill in the correct answer:
1.
DATE______________ warm up Capitalism
This occurs when wants exceed resources__________
2.
The City Council decides to fund the after school programs therefore they lose the chance to fund the
summer
youth camps__________________
3.
When we use goods or services to satisfy our economic wants__________
4.
Someday CD players will not be sold because consumers will not want to buy them______________
5.
Americans want lots of products, but it cost money to make them in America so we buy them from
China.
China only pays its workers a few pennies an hour, therefore they are cheaper._____
6.
and
How people, individually and in groups choose to use scarce resources to satisfy their wants, how goods
services are produced and distributed__________
7.
A company decides to move its factory to Mexico because they can pay people less money to do the
same amount of work. ____________________
8.
You make your sister a birthday card instead of buying one at the card store_________
9.
You got $100 for your birthday and you need to choose between getting a new i-pod or a new cell
phone. __________________
10.
You chose the cell phone instead of the i-pod______________________
11.
The U.S. Federal Government decides to send more troops to North Korea instead of increasing aid to
schools. What is the opportunity cost of the Federal Government’s decision?________________
12.
Which type of economic system provides people with the most freedom?______________________
13.
Which type of economic system is most controlled by the government?_______________________
14.
In a traditional economic system who decides what is produced?_____________________________
15.
In a command economic system who decides what is produced?_____________________________
16.
In a market economic system who decides what is produced?_________________________________
CAPTIALISM/MARKET ECONOMIES
What are some positive aspects of Capitalism?
What are some negative aspects of Capitalism?
public