1. Chapter 3 “American Free Enterprise” Section 1 “Benefits of Free Enterprise”
PREVIEW OBJECTIVES (pp. 40)
Describe :
Explain:
Identify:
Describe:
SECTION FOCUS American free enterprise is based on the principles of profit motive, voluntary exchange, private property rights, competition, and freedom for producers & consumers. The U.S. Constitution supports the free enterprise system by guaranteeing private property rights, the right to make contracts, and freedom from unfair taxation.

2. KEY TERMS: Profit motive: Open opportunity: Private property rights:
Free contract:
Voluntary exchange:
Competition:
Interest group:
Public disclosure laws:
Public interest:

3. Quick Write – “Define Land of Opportunity;” and Provide examples of family or community leaders who started up small businesses. COPY: Figure 3.2 (pp. 55) Major Federal Regulatory Agencies

4. Section 2 “Promoting Growth and Stability”
PREVIEW OBJECTIVES (pp. 57)
Explain:
Analyze:
SECTION FOCUS The government attempts to stabilize business cycles, aids the growth of the economy, and encourages technological innovation
KEY TERMS:
Macroeconomics:
Microeconomics:
Gross Domestic Product (GDP):
Business cycle:
Work Ethic:
Technology:

5. Economics - Quick Write (Ch. 3, Sect. 2 pp
Economics - Quick Write (Ch. 3, Sect. 2 pp. 58) Part of the American Dream has always been for each generation to enjoy a higher standard of living than that of previous generations. This may be “unsustainable.” “How are you overcoming the barriers toward living your American Dream?”                  

6. Copy Figure 12.7 Tracking a Business Cycle (page 310)
Section 3 “Providing Public Goods” PREVIEW OBJECTIVES (pp. 62)
Identify-
Analyze-
Evaluate –
SECTION FOCUS The government sometimes steps in to provide a shared good or resource when it would be impractical for consumers to pay individually.

7. KEY TERMS: Public good: Public sector: Free rider: Market failure:
Positive Externality:
Negative Externality:

8. Section 4 “Providing a Safety Net” PREVIEW OBJECTIVES (pp. 67)
Summarize:
Describe:
SECTION FOCUS: Sometimes the United States government has to step in to create programs to aid poor, disabled, and elderly people.
KEY TERMS:
Poverty threshold:
Welfare:
Cash transfers:
In-kind benefits: