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Economic Basics sample essay

1. Describe two examples of important things that financial planning skills can help you do, and explain why these things are important to you personally. (4-6 sentences. 2.0 points) Financial planning skills can help you acquire more in term of finance and can also help you secure what you have. When you have skill to plan, you are aware of how to manage your account hence adding on your profit. Securing what you have is important as it ensures that you do not go broke or lose everything. It’s immensely important because I want to be financially successful in my future.

2. List two examples of goods you have purchased in the past or may purchase in the future. (Complete sentences are not necessary. 0.5 points) Snacks from the store, clothes from shops

3. Imagine that you are considering moving to a new country and looking for a job there, but you first want to make sure the country has a strong economy. Describe at least three economic factors that you would want to research as evidence of the economy’s strength or weakness, and explain how each factor would affect your decision to move there. (4-6 sentences. 3.0 points) I would look at the Gross Domestic Product (GDP). And what has the unemployment rate been over the last 20 years? Is the economy strong enough to absorb foreigners? Since you would be a foreigner in this country, you need to make sure you’ve got a good chance getting a job etc.

4. In capitalism, most businesses have a profit motive. Describe at least one reason that businesses with a profit motive may be helpful for society and at least one reason that they may be harmful for society. Then, explain whether you think profit motive is a good thing or a bad thing for society. (4-7 sentences. 2.0 points) One reason profit motives are helpful, is because they get the business the money it needs. Also helps pay employees and such. One reason why it could be harmful is because it’s all money driven. They’re taking money away from people who need it. In my personal opinion, I have a neutral feeling towards profit motive.

5. Imagine that you are buying a new computer and comparing different brands and prices. Describe at least two nonprice competition factors you might consider when making your decision. (2-4 sentences. 2.0 points) There are a bunch of things you should consider like whether or not the brand or style of computer is reliable and fast. You might have to compromise because one might have “x” features you like while the other has “y” features you like.

6. Describe a product, and then give an example of a time when the demand for this product might be high and the demand for this product might be low. (2-4 sentences. 2.0 points) Sweaters, for example, would be at a higher demand rate when it gets cold out. There aren’t too many people who want to wear sweaters in the summertime so demand for them is going to be much lower in the summer.

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