Economics. Economics b Economics is what keeps a nation on its feet. It determines whether or not a...
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Transcript of Economics. Economics b Economics is what keeps a nation on its feet. It determines whether or not a...
EconomicsEconomics
EconomicsEconomics
Economics is what Economics is what keeps a nation on keeps a nation on its feet. It its feet. It determines determines whether or not a whether or not a nation’s people nation’s people are educated, are educated, well-paid, fed, well-paid, fed, healthy, and living healthy, and living a good life.a good life.
The TourThe Tour
Here’s a little tour Here’s a little tour on what it’s like to on what it’s like to start an economy.start an economy.
The Dawn of an EconomyThe Dawn of an Economy
First, either private First, either private companies or the companies or the government builds government builds factories to produce factories to produce goods. goods.
The government The government builds schools, builds schools, transportation, and transportation, and health care health care facilities.facilities.
EducationEducation
Adults use the Adults use the schools to learn schools to learn how to run the how to run the new factories.new factories.
Children also go to Children also go to school, but they school, but they are not trained for are not trained for work until they are work until they are adults.adults.
WorkersWorkers
The newly-trained The newly-trained adults take up jobs at adults take up jobs at the new factories.the new factories.
The factory benefits The factory benefits from the workers from the workers making goods for making goods for them.them.
The workers also The workers also benefit from the benefit from the factories, who pay factories, who pay them wages.them wages.
SpendingSpending
The workers, who get The workers, who get paid by the factories, paid by the factories, use the money to buy use the money to buy food, clothes, furniture food, clothes, furniture and other accessories and other accessories for their families.for their families.
The factories and The factories and businesses selling businesses selling these goods receive these goods receive money from the money from the consumers.consumers.
Tax DayTax Day
Both workers and Both workers and factories have to factories have to pay taxes to the pay taxes to the government.government.
The government The government uses these taxes to uses these taxes to pay for the schools, pay for the schools, transportation, and transportation, and medical facilities.medical facilities.
The loop goes onThe loop goes on
After taxes pay the After taxes pay the public services, more public services, more people are educated people are educated for work, more for work, more factories are built, and factories are built, and the new workers run the new workers run the new factories.the new factories.
The Economics cycle The Economics cycle simply loops; it will simply loops; it will never stop… or will it?never stop… or will it?
Uh-oh….Uh-oh….
When the tour When the tour mentioned “it will not mentioned “it will not stop,” it means that it stop,” it means that it will continue to grow will continue to grow stronger, as long as stronger, as long as everything that we everything that we mentioned happens. mentioned happens. But, an economy is set But, an economy is set up like a Domino line, up like a Domino line, and knocking down and knocking down that one brick knocks that one brick knocks them all down...them all down...
The end is near…..The end is near…..
Let’s pretend that all Let’s pretend that all of of
the factories started the factories started
making goofy making goofy products products
that no one likes. Thatthat no one likes. That
means that no one means that no one will will
buy the products.buy the products.
Well, if no one buys Well, if no one buys
anything, the anything, the factoriesfactories
don’t make any don’t make any money, money,
and will have to fire and will have to fire
some of their some of their workers.workers.
If the people can’t If the people can’t work, work,
they will have no they will have no moneymoney
to buy products or to buy products or paypay
taxes.taxes.
Now the Now the government can’t government can’t make any money, make any money, making it making it impossible to impossible to keep the public keep the public services.services.
Without public Without public services, services,
people can’t getpeople can’t get
educated, drive on educated, drive on thethe
streets, or go to the streets, or go to the
doctor when they doctor when they are ill are ill
or injured.or injured.
It is now impossible forIt is now impossible for
factories to recruit factories to recruit
workers to make theirworkers to make their
products. The factories products. The factories
close, and the last close, and the last brickbrick
of the economy is of the economy is down.down.
Wrap-upWrap-up
In conclusion, an In conclusion, an
economy is one of the economy is one of the
hardest things to run.hardest things to run.
It is most difficult to It is most difficult to
start one, or improve a start one, or improve a
terrible one. You need terrible one. You need
money and education tomoney and education to
make factories, butmake factories, but
money comes from money comes from factories.factories.
Wrap-upWrap-up
So far, this slide show So far, this slide show has covered:has covered:
How an economy is How an economy is startedstarted
How an economy is How an economy is maintainedmaintained
The Economy’s loopThe Economy’s loop How an economy How an economy
can break downcan break down