Economic Decisions Economic Decisions Part 2Part 2

Shane McNamara

Choosing a CityChoosing a City

When choosing a city to live in, you could pick the safer and cleaner city, which would cost more. The other choice would be to live in a moderately safe and clean city for cheaper.

Choosing a CollegeChoosing a College

You could go to the college that you dreamed of going to but it is expensive.

You could also choose to go to a college you could afford, but its not one of your choosing.

Decision Making ProcessDecision Making Process

1. Define the problem. Picking what college you want to go to

2. Identify the choices. UNC, NC State, Duke, or Wake Forest

3. Evaluate the disadvantages and advantages. All of the choices are expensive but all of them are close by.

4. Choose one. Wake Forest5. Act on your choice. Attend Wake Forest6. Review your decision. Do you like your

college?

Driving or FlyingDriving or Flying

1. Which choice will be cheaper or faster2. Fly on a plane or drive in a car3. Flying will be more expensive but

faster. Driving will be cheaper but slower4. I would choose to fly5. I flew to Florida6. Which choice should I have picked?

Command EconomyCommand Economy

In a command economy, the resources are owned and controlled by the government. Cuba has a command economy. People do not have many choices in a command economy but, everyone gets a job

Market EconomyMarket Economy

Resources are controlled and owned by the people of the country. The United Kingdom is a market economy. An upside of a market economy is that the resources are owned and controlled by the people. A downside is people lose jobs due to competition.

CapitalismCapitalism

The private ownership of resources by people, not the government. People can choose what products they produce. The United States is a capitalist country. One advantage is that people have the right to choose what products they want to produce and purchase. A downside is competition often runs businesses bankrupt, then people lose their jobs.

Communist EconomyCommunist Economy

Communist economies are much like a command economy in that the government controls every aspect of the economy. Cuba is a communist economy and one of the last. One upside to communism is that everyone gets a government job but people have NO freedom when it comes to the economy.