Y10 Economics

MIXED ECONOMY

USE EXERCISE BOOKS FOR TAKING NOTES AND COMPLETING ACTIVITIES

What’s the difference between business man and Police man?

Who pays their wages?

Government or Business..

Private sector and Public sector

The Mixed Economy

• A market is a place _______• _______________________.

• Buyers and sellers can work for a business or for the government.

PUBLIC SECTOR

Is a government department or agency which provides good and services such as;

Roads, Hospitals, ______ , _______ , _______

Key words; government, tax, not for profit.

Qatar government Ministry

• In pairs, list as many government ministry's as you can think of….

• E.g. Ministry of Interior

– Possible 17!

• Answer: http://portal.www.gov.qa/wps/portal/directory/ministries

What is Qatar Public sector spending money on?

• http://keepingscore.blogs.time.com/2013/07/11/why-qatar-is-spending-200-billion-on-soccer/

• http://www.youtube.com/watch?v=FMDL3hM4osE

• http://www.youtube.com/watch?v=xI2v9AKV08Q

What else does UK Public Sector spend money on?

Source: HM Treasury, 2009

Activity….

• PENS DOWN

• HAVE SCRAP PAPER READY

• YOU CAN VIEW NEXT SLIDE FOR 30 SECONDS, NO WRITING!

• After 30 seconds, screen goes blank and you must write down as many businesses as you can remember.

•Write down….

• Whose got most?

Private Sector

• Private businesses providing goods and services for profit.

• Supply goods and services according to demand and supply at market clearing price.

• E.g. McDonalds

Public or Private?

NASA Hairdresser School

Public or Private?

Discuss with your partner?

Types of Economy's.

• Most countries economy is made up of Public and Private Sector spending.

• Zimbabwe has 98% Public Spending! Only 2% Private sector in the economy. What does this mean?

• USA has 32 % Public Spending, 68% Private sector.

http://www.investopedia.com/financial-edge/0911/countries-with-the-highest-government-spending-to-gdp-ratio.aspx

Types of economys.

Private Sector led Public Sector led MIXED Economy

FREE MARKET ECONOMY

PLANNED ECONOMYELEMENTS OF BOTH PRIVATE AND PUBLIC SECTOR.

MOST ECONOMIES OUTSIDE OF NORTH KOREA HAVE A FREE MARKET AND GOVERNMENT DEPARTMENTS.

Private business dominate

Public businesses _________

Goods and services sold for ________

Goods and services not sold for profit

E.G. Coca Cola, BP, Jaguar, Apple

E.G. Public hospitals, Defence army, Police,

Key words private, enterprise, free markets

Key words; State, Public, Government Planned

Activity

• Explain in your exercise book:

– Q: France has 52% of the economy made up of Public Sector. This means that…..

– A: Try to Use some of these key words:• Private sector ; 48% ; business spending ;

government spending. Providing health ; private enterprise.

How do economies answer the 3 questions

Use p.48 to explain how..Question Free Market Planned Economy

What to Produce?

Provide goods and services which people want. E.g. Apple phones

Mostly provide goods and services that people n______ . E.g Schools and hospitals

How to Produce it?

Private businesses produce goods the most EFFICIENT way, with low costs and maximum profit.

For whom to produce?

For everyone. The government want to ensure an equal society where everyone has their needs met.

Extension

• Cuba video

• An economy moving from Planned Economy to Free Market Economy.

• https://www.youtube.com/watch?v=OH6z1uycUQs

• Do you think Cuba is a Planned Economy or a Mixed Economy?

Free Market – Private Sector

– Adv – – Greater choice of products at c_________ prices– Free enterprise encourages jobs and g_____ wealth

Disadv – – Lack of government leads to crime and p_______

(externalities)

- Can lead to people being unhealthy (de-m_____ goods)

Planned Economy - Public Sector

• Adv

– Government provides health care and e_______

– Equal society

– Police and d______ provided free.

• Disadv

– Many t_____ to pay for spending.

– No competition means less c______.

– Inefficient goods and services provided, no profit motive to generate wealth.

Plenary -

• Can you explain these things with your partner?

– Can you give examples of public sector? – What’s the difference between public and private

sector? – What is a Mixed Economy? – What is advantage of Free market economy? – What is advantages of Planned Economy?