Aim: Who makes our economic decisions?
Do Now: Explain how some tasks are best performed when people work together
Task 1: What is economics?
3 Basic Questions of Economics:
1. What goods & services should be produced?
2. How should we produce them?
3. For whom should we produce them?
Task 2: Using the worksheet & the 3 Basic Questions, define each of the following economies:
Traditional Economy, Market Economy, Command Economy, and Mixed Economy
Traditional Economy - people produce based on what they need to survive
Market Economy - Decides what to produce based on what people would buy
Command Economy - Government tells what to produce, cost and own the factories
Mixed Economy - individual makes some decisions, and government makes some decisions
Task 3: In pairs, evaulate each economy on its pros and cons
