Blog 5

1.  Using what you learned about the three functions of money, explain how 'play money' differs from 'real' money?
Real money can get you wants and needs but play money cant give you wants and needs.

2.What would you accept in place of money, if someone wanted to 'buy' your most prized material possession?
I would probably accept food because food is the next thing you need in life besides money.

1.What does a circular flow model tell us?
Circular flow basically shows us that input from each sector and to each sector spurs on production and thus goods and services are created.

2.  What is the role of households in the three sector circular flow model?

The households buy goods from the businesses

3.  What is the role of businesses in the three sector circular flow model?
The businesses get money from the households that buys the goods from them

4.  What is the role of government in the three sector circular flow model?

The goverment receive revenue from household who pay taxes to the goverment and they also receive money from business through corporate income taxes.

5.  What role do households have in the factors or resource market (inputs)?

Household provide businesses with payments in exchange for jobs and service this flows from households to firms and payments flow from firms to households.

Title:  Law of Demand and Law of Supply - M12

(a) What happens to the demand for chicken if concerns about mad cow disease lead to widespread euthanizing of  cows on U.S. cattle farms?
The demand will increase causing the curve to shift right.

(b) What happens to the supply of orange juice if Florida is hit with very severe weather?

The supply of orange juice will decrease and the curve will shift left

(c) In the market for coffee, severe global weather systems destroy 30% of the coffee bean crop

There will be a less production of coffee

(d) In the market for cereal, if the price of cardboard material used to package cereal increases

They will probably make less cereal if it causes money to keep them in a cardboard box.

 

Standard M14 Forms of Businesses

1.Name of entrepreneur/Name of entrepreneur's business/complete address (including zip code)
Micheal Reddick /self storage solutions & Uhaul / 995 Hwy 16 E Newnan

2.Type of business organization
Storage & Uhaul Rentals

3.Length of time the business has been in operation
15 years

4.List Products provided by the business (goods and/or services)
Storage space & moving supplies

5.Number of employees/skills needed to work in the business
3 / computer skills, strength, sales manship

6.List benefits of business to community/What does this business provide that similar business dont provide
Rentals for moving space needed / Excellent customer service

7.Major competitor for this business and how this business remains competitive
Many similar businesses in area

8.Describe methods used to increase growth of business and any future plans for expansion
Advertising expansion plan done 12 years ago

9.Three greatest challenges in operating the business
Good employees, taxes,sales

10.Three greatest rewards in operating the business
Personal satisfaction, independence, serving customers

 

Economic Goals; Role of Goverment; Economic Growth and Productivity EF4;EF5;EF6

1. How are the economic goals of freedom, security, efficiency, equity, stability, and economic growth achieved in a market economy? Freedom is the freedom of the marketplace; security is enhanced by individual efforts, such as saving and the purchase of insurance, as well as by the growth of the economy; efficiency possesses productive effiency in producing goods; equity can be described as the application of our concepts of what is fair and what is unfair; stability is absence of inflation or deflation, not the absence of changes in relative prices in particular markets; economic growth producing increasing amounts of goods and services over the long term.






2. Why has the role of government in the economy increased dramatically since the 1880s? During the 19th century, governments played a central and pervasive role both in establishing the economic and institutional conditions necessary for the occurrence of the Industrial Revolution and for promoting its spread to the follower European nations. Everywhere, governments reduced the risks of private transactions by promulgating laws that limited entrepreneurial liability, increasing the security of property rights, and enforcing private contracts.


3. Write an argument that supports or opposes the statement in the visual below that says, "deregulation won't work because people are greedy”?  I believe that the deregulation wont work, because the whole purpose of starting a business is to make money. Its very little people who can say they have enough money, because you can never have enough money. And without the regulation prices will be through the roof and the workers will be mistreated an it wouldnt benefit the consumers or owner.


4. Explain why the government provides public goods and services. Why are these public goods and services NOT provided by the private sector? (Please include a discussion on non-rivalries and non-excludable goods) The government provides public good and services because they have to be non-rivalrous and non- excludable so that everyone can have access to these goods. If private sectors provided these goods, they would not be non-rivalrous and non-excludable.


5. What are the 6 functions of government in a market economy (provide an example of how the government fulfills each of these 6 functions)? The six functions of government in a market economy are freedom, security, efficiency, stability, equity, and economic growth. Freedom is achieved by the people having the freedom to work (or not), freedom to produce, trade and consume any goods and services acquired without the use of force, fraud or theft. Security is achieved by having stable income or other resources to support a standard of living now and in the foreseen future. Efficiency is achieved by production proceeding at the lowest possible per-unit cost. Stability is achieved by the absence of excessive fluctuations in the economy, an example is high employment. Economic Growth is achieved when a nation’s wealth increases over time.


6. Describe the relationship that inputs and outputs have on productivity? The input is adding more capital to a business to increase the workers productivity, which will improve the business output. In additional to that also increase the company's profit.


7. How do investments in capital goods, technology, human capital, training, and educating workers, improve productivity and economic growth? You invest into capital goods, technology, human capital, training, and educating workers that improves productivity because smarter workers find ways to complete more work in less time. Human capital and technology increases productivity because they aid the workers so that more work can be completed.


8. Refer to the chart below and explain the cause of the decrease in the output, productivity, and employment in manufacturing in the United States. What can the United States do to reverse this downward trend in manufacturing? Deregulations has more ups than downs. In this chart, the effect of not having the government involved is exemplified.

Production Possibilities Curve; Rational Decision Making; and Specialization EF2 and EF3

1.If you owned a business, what would a production possibilities curve tell you? Be specific. What are two factors that could cause your production possibilities curve to shift outward?It will tell me the combination of two commodities(goods, products) that can be produced efficiently with a society's available resources.

2.What is the best way to determine whether or not we are making a rational economic decision?
Create a production possibilities curve to see what to products can earn you profit and determine if the marginal benefit exceeds the marginal costs.

3.Why do companies choose to specialize and trade? What would happen if companies did not choose to specialize?
Companies specialize because they need to get work done faster they get the job done much quicker with certain people working in specicifc groups and they trade so they can satisfy consumers with things they do not have.

4.Include two relevant visuals(based on stadards) with captions that explain their significance to the standard.

Formative Assessment Reflections- How do you feel about your knowledge of this standard? What are two questions that you have about this standard?
I feel I know this standard pretty well, my question is how is specialization and division of labor different