1. Public and Private sectors

2. What is meant by the public sector? Can you thinks of examples of public sector organisations? Who owns these? …manages these? Why are they needed? Are public sector organisations good for the economy/ country? Which countries have a large/ small public sector? List 3 for each. http://anepigone.blogspot.com/2011/10/national- government-spending-as.html (National government spending as a percentage of GDP by country) http://anepigone.blogspot.com/2011/10/national- government-spending-as.html http://www.youtube.com/watch?v=jShCAlOX1TE&feature =relmfu Public sector: Introduction (2:31) http://www.youtube.com/watch?v=jShCAlOX1TE&feature =relmfu

3. What is meant by the private sector? Can you thinks of examples of private sector organisations? Who owns these? …manages these? Are private sector organisations better for the economy/ country than public organisations? Try Getting started P119

4. The Public Sector those organisations owned & controlled by local or central government Types; Central government Departments, e.g. Ministry of Education/ Health/ Defence …. Local authority services, e.g. parks, libraries, rubbish collection, council estate housing (UK) others; BBC, Post Office, bank of England, Office for National Statistics

5. The Private Sector those organisations owned & controlled by individuals or groups of individuals Types; sole trader; 1 owner, e.g. taxi driver partnerships; 2-20 people working together; common in professions like accountants, lawyers, doctors companies; owned by shareholders & run by board of directors. Can be private or public, e.g. http://www.deloitte.com/assets/Dcom- UnitedKingdom/Local%20Assets/Documents/News%20rel eases/UK_NewsRelease_2010TopTrack100pressrelease- National.pdf http://www.deloitte.com/assets/Dcom- UnitedKingdom/Local%20Assets/Documents/News%20rel eases/UK_NewsRelease_2010TopTrack100pressrelease- National.pdf Try Q1 P120

6. Private sector aims Aims PROFIT MAXIMISATION PROFIT SATISFICING SOCIAL RESPONSIBILITY SALES MAXIMISATION GROWTHSURVIVAL In what circumstances would the aims above be most important? Write down examples for each. Try Q2 P122

7. Public sector aims Improving the quality of services minimising costs allow for social costs & benefits (externalities) So how big should the public sector be? http://www.youtube.com/watch?v=3w8KxiU- Yig&NR=1&feature=endscreenhttp://www.youtube.com/watch?v=3w8KxiU- Yig&NR=1&feature=endscreen Public sector: Hero or villain (5:25) http://www.youtube.com/watch?v=rKxzx5B17BM&N R=1&feature=endscreenhttp://www.youtube.com/watch?v=rKxzx5B17BM&N R=1&feature=endscreen Role of government (5:17) http://www.youtube.com/watch?v=waLBWpIPQx0 Greek bureaucracy stifling economy (2:34) Try Exam practice P123