Introduction

Chapter 2 – Economy and DevelopmentLMAC

Mr. Wilson

Activity 1 – Economic Vocabulary

Gross Income:▪ Your income before any deductions

Net Income: your income after any deductions

Activity 1 – Economic Vocabulary Capital:

 Can be money or capital goods that can be used as an investment or for a return

Disparity: Refers to an inequality between the

distribution of economic assets or income. Can be applied to Countries as well!

Gross Domestic Product: How much a country or a region PRODUCES

before any deductions (a good measure of economic growth.)

Activity 1 – Economic Vocabulary

Corporation:  A publicly owned business (i.e.: run by

the shareholders!)Supply:

 Goods and services, the inventory which a business provides

Demand: How badly the public wants/needs a

specific product (e.g.: gasoline)

Activity 1 – Economic Vocanulary

Budget:  A prediction of how much a single

person, or a large corporation, will spend over a certain period of time.

Unemployment: A percentage of the number of active

workers who are not working.

Activity 1 – Economic Vocabulary

The Primary Sector

Activity 1 – Economic Vocabulary

Secondary Sector:

Includes all businesses that are involved in the manufacturing or manipulating of raw good and materials into specific products

Activity 1 – Economic Vocabulary

Tertiary Sector:

Includes all businesses that are involved in the selling or shipping of products

Activity 1 – Economic Vocabulary

Imports: Goods that are brought into a country.

Exports:  Goods that are shipped out of a country

“Most imports come from outside the country…”

- George W. Bush

Activity 1 – BIG Questions

Please answer the following in your Common-Place books using full sentences (each one will require a short paragraph!)

These are not easy questions – they require some thought, maybe even (gasp!) some research.

My suggestion is you talk to someone with more experienced (i.e. your parents) before completing your answers.

Activity 1 – BIG Questions

How do economic decisions have an impact on our development as a society? Give examples! [C-1]

What do you think has the biggest impact on decisions and explain why? [C-1]

As a citizen, how do these decisions eventually effect YOU? [C-3]

Now onto the lecture…

World GDP - 2007

The Economic Landscape of Quebec:

Quebec’s average GDP…?

What kind of an economy is it?

Where does the economy focus?

What is the Labour force like?

Which issues are a big concern? (Conclusion)

Break-down of Canada’s Sectors – by population

Geographic Distribution - Quebec

1. The Resource Regions

2. The Central Regions

3. The National Capital Region

4. Montreal and Laval

Business Break-Down - Quebec Private (owners) vs. Public (shareholders)

vs. Crown businesses. 75% of Quebec’s population works in the

PRIVATE SECTOR. 57% of all job opportunities are with LARGE

CORPORATIONS – however, private businesses tend to keep their money in the province.

Conclusion: Small/medium sized businesses make up most of Quebec’s economy.

Private vs. Public businesses

PRIVATE (majority owned by Alan Bouchard)

PublicShares are traded on the open market – special deals given to employees

Crown Corporation?

“Crown” is an old meaning - from where?

Large Corporations vs. Small Medium businesses

MEDIUM SMALL

Quebec’s Exports

Quebec exports over 53% of everything it produces. 2/3 of those exports go to foreign countries, the

last third goes to other Provinces.

30% of Quebec’s economy is based on these exports.

The majority of these exports are from the Secondary Sector: Metal processing, transportation equipment,

paper, industrial and commercial machinery, chemical products (oil!)

Employment vs. Unemployment In 2008 Quebec’s Unemployment =

6.7% Since 2009 = 7.7% Layoffs and financial uncertainty.

Credit and Inflation Provincial average – there is a lot of

disparity between the different areas!

What conclusions can you make from this

document?

Canada’s Inflation predictions - 2008

Social Sciences can be deadly…