Economics (Ch. 12)

1. Major Economic Questions

1.1. Choice: What will be produced?

1.2. Planning: Who will guide this system?

1.3. Scarcity: Limited Resources

1.4. How will goods and services be produced?

2. Government:

2.1. Does not make money

2.1.1. Costs to provide services

2.2. Collective values include:

2.2.1. Collective Responsibility

2.2.2. Collective Interest

2.3. Redistributes wealth

2.3.1. For some citizens to get money, other citizens provide it (taxpayers)

3. Types of Equality:

3.1. Egalitarianism

3.2. Equality of Opportunity

3.3. Equitable Distribution of Income

3.4. Inequality (lack of equality)

4. Freedoms

4.1. from want

4.1.1. Is it a human right to have enough money?

4.2. from government interference

4.2.1. individualism!!

4.3. property

4.3.1. Should you have to share your wealth with others?

4.4. economic

4.4.1. If you risk more, do you deserve the reward?

5. Curricular Language

5.1. Affirmative Action

5.1.1. Also called: Employment Equality

5.2. Progressive Taxation

5.3. Cost of Living

5.4. Incentive, risk, reward

5.5. Monetary Policy

5.5.1. Gov't lowers or raises interest rates

5.6. Fiscal Policy

5.6.1. Gov't increases or decreases taxes

6. 3 Types of Economy

6.1. Free Market

6.2. Command Economy

6.2.1. case study: Cuba (p. 319)

6.3. Mixed Economy

6.3.1. case study: Sweden (p. 329)