1. Sunny Ko, Danny Curran, Lizzy Esguerra, and Jimmy DeLuca

2. Identify the Island’s Resources Twigs for a fire Fruits, vegetables, fish, pig, and chickens Large branches for shelter Boil the ocean water

3. Market Economy- Resources are owned and controlled by the people of the country Advantages Disadvantages The market gives producers an incentive to produce goods that consumers want The market provides an incentive to acquire useful skills The price system encourages producers and consumers to conserve scarce resources A private market economy might be quite unstable Business may simply satisfy the wants they have created through advertisement The prices may give false or inadequate signals to producers and consumers

4. Countries that use the Market Economy System Mexico United States United Kingdom Canada Germany

5. Three Basic Economic Questions 1. What goods and services will be produced? 2. How will the goods and services be produced? 3. What needs and wants will be satisfied with the goods and services produced?

6. 1. What goods and services will be produced? Goods and services are produced by the people of the economy

7. 2. How will the goods and services be produced? The individual owns all the factors of production and makes all the decisions.

8. 3. What needs and wants will be satisfied with the goods and services produced? The individuals decide who receives what is produced in the economy