Money Matters

In this unit, we will be exploring why the economy is important, entrepreneurship, producers vs. consumers, and supply vs. demand.

Free Enterprise System

A free enterprise system means that you are free to spend your money how you want and businesses are free to run the way they want to. You can choose where you want to shop from and what you want to buy. Businesses can choose to sell what they want, create their own prices, and choose who they work with.

Characteristics of a Free Enterprise System:

The government doesn't decide what types of products and services that companies offer. The customers or consumers do!
The government allows you to choose any type of business or field that you are interested in owning or seeking employment.
The market allows you to buy land, buildings, and property with very few restrictions. As a business owner, you have the right to set your own prices and determine your own profit levels.
As a business owner, you have the ability to choose suppliers and other people you do business with.

Entrepreneurs

An entrepreneur is someone who decides to create or run a business, even though they might lose some money. They come up with an idea, then they have to plan on how to make it reality. Entrepreneurs can either sell a product OR provide a service! Entrepreneurs often need investors to help them get their business started. Investors are people who put money into a business. The investor usually expects to get some of the profit in return.