E2 Economic rights ownership and property rights economic challenges

1 governments of MIXED MARKET economies may try to reduce the wealth gap by: taxing rich people at higher percentage of their income. improving education larger wealth gap chances for higher income more private property

2 Governments of COMMAND econmies may try to reduce the wealth gap by: placing limits on what citizens can earn. controlling what workers are paid SMALLER WEALTH GAP more public property less chance for higher income

Command economies North Korea

Government controls economy government has property rights to land, building, and factories. citizens have very limited property rights. government can even own house and car sometimes fewer rights

Responsibility

How much responsibility is required if things go wrong warranty for 30,000 something happens 20,000 covered but at 35,000 my responsibility

Time commitment

How much time is needed for maintenance and upkeep oil change something breaks time out of my day to keep it running

How does unemployment hurt an economy? Check all that apply. Unemployed people usually buy fewer things. Unemployed people may not be able to repay their loans. Unemployed people are not looking for jobs. Unemployed people have increased buying power. Unemployed people may have to change their financial goals.

Unemployed people usually buy fewer things. Unemployed people may not be able to repay their loans. Unemployed people may have to change their financial goals.

Wealth gap is not a problem: DEBATE everyone benefits if the economy is strong. The wealthy can use their money for large investments. Those investments can lead to job creation.

Wealth gap is a problem: A gap may lead to slower economic growth over time. A gap can cause economic instability. Fewer citizens can purchase what they need and want.

Employment

act of engaging in a job in exhange for income employed individuals: can make economic goals for themselves. gain the buying power to purchase private property.

Property Rights

are the power to own land or goods.

Wealth gap

between rich and poor economic difference between the two groups look at graph first: look at title read axes identify the trend

The government owns public property which: local park accessed raise money forrest logging to go in log the trees, company pays money to government.

can be accessed by all citizens. can be used as way to raise money

Individual own private property, which: car or house wealth to own but it can cause inequality you have car someone else doesnt

can help promote economic wealth. can cause economic inequality.

Challenges to Ownership Individuals must consider many factors when they become owners.

cost how much does it cost in the short term downpayment 2,000. And long term alont more than that 500 x 60 months five years

Second part Economic challenges

employment and unemployment equality and the wealth gap

Government can play influencial role when it comes to property rights

government regulations can increase or decrease property rights. **command economy fewer rights "run by government" **Property rights more rights mixed market economy USA has Mixed market More rights

Public property

land own by government white house or national parkts owned by the government,

Reading graph

line graph look at title read axes identify the trend

Joe owns a business renting out properties as apartments. He is hoping to purchase an old building to create new apartment homes. Before Joe is able to purchase the building, he must work out a deal with the current owner, who has decided to sell the property. Use the drop-down menu to complete each statement. Based on the information in the passage, it is most likely that Joe lives in a _____________ economy. The building that Joe is interested in purchasing would be considered _________________ .

mixed market private property

Ownership is the right to possess something

ownership allows you to decide: how to use something when to sell or get rid or something

government can reduce unemployment

pay for projects to create jobs lowering taxes to encourage hiring and spending food 10 x everything else if government lowers taxes you may be able to afford it at 7 governemnt can stimulate economy

Why is rising unemployment a problem

people have to adjust their economic goals because it is harder to Buy a house purchase goods needed to live pay taxes

Private property

refers to land or goods owned by individuals HOUSE

Unemployment

situation where a person does not have a job. unemployment also is a measure of the number of citizens who want a paid job but cannot find one. A high unemployment rate hurts an economy 50 not have money buying groceries etc. economy is hurting due to unemployment rate.