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Economic issues

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Economic issues
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  • GET YOU'RE $2 NEWSPAPERS HERE!!
  • This is an example of a Market economy its similar to a Mixed economy because you can sell what you want but the Gov has no say in the economy.
  • now Borg this is an example of a Command economy. The Government has complete control. The Gov has assigned this person there role in the economy and how much they will sell it for.
  • I got assigned my job today. I will be making and selling bread for $3.
  • WOW! I didn't know there where so many types of Economy. thank you human for teaching me!
  • Well Borg we are not quite done yet there is still a few things you should know.
  • Whats That?
  • Scarcity is when a lot of people want a resource but there is not enough of it for everybody.
  • in order to have a good economy you need to understand Scarcity.
  • opportunity cost?
  • OH, I get it now!
  • you also need to understand opportunity cost
  • if you can eat either an apple or an orange, and you pick the orange. this choice costs you the opportunity of eating the apple.
  • Wow!! thank you human, I think I'm ready to start my own economy!!
  • No problem Borg! come back if you have anymore questions about Economy.
  • Annnndd Finally you need to understand incentives. If you have to clean your room but you really don't want to somebody might say they will give you $10 dollars to do it. with the promise of $10 you are much more likely to clean your room. The $10 is the incentive.
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