First, lets learn the difference of wants and needs. Wants are things you can live without while needs are something that are used for your everyday life. I have given you a list to identify them easier.
Hi, My name is O.B.A.M.A. and I will be your business instructor for this course!
Saul wants to start a business but he doesn't understand basic business terms
Market: No government involvement in this market
Traditional: A traditional economy is based on culture, traditions and focuses on the community as a whole
Mixed: limited government involvement. Most of the world is mixed economy
Command: When the government controls all of the economic decisions, people can't start a business
The Personal assistant is showing the difference between wants and needs to Saul. He shows that wants are things we don't need to live with for survival and needs are things. we need for survival
There is also supply and demand, supply is the amount of a product a company has and the demand is how much consumers want
Saul took online courses to get a better understanding of business and the economy
There are 4 types of Economic Systems, I will give an explained detail on all of themA Market economy has zero government involvement and only consumers decide everythingA mixed economy is when there is government and consumer involvementA Command economy is when there is only government involvement and allows no businessesTraditional economy is based on traditions and culture rather than new things
O.B.A.M.A. shows a graph about supply and demand. The graph shows that when a product is too cheap there will be less supply and more demand and if it is too expensive than it will have more supply and less demand
And the final part of this course is the 4 business cyclesA recovery is when a GDP is growing back up to the peakThe peak is when the GDP is at its highestA recession is when it goes down from the peakThe depression is when a nation's GDP is at its lowest