LESSON 21.2 Our role in the economy
LEARNING INTENTION By the end of this lesson you should be able to explain your role in the economy.
Tune in Imagine you have just watched your older sibling buy their first car, weeks after their 18th birthday. You start to consider what you will do when your time comes. Discuss the following: 1. How much do you think a car will cost when you turn18? 2. How will you raise the money for your first car? 3. What is the best type of bank account to open to save your money in? 4. How will you know the best place to borrow money if you need to?
FIGURE1 How much money will I need?
21.2.1
The importance of understanding our role in the economy
Consumers and producers are at the centre of Australia’s market system. All of us are consumers, as we all buy things. While we may obtain the money to buy things from our parents or caregivers we are still considered consumers, and this makes us part of the household sector . The businesses we buy from comprise the business sector. We can examine the relationship between the business sector and the household sector by looking at FIGURE3 . It shows the flow of goods and services, and the flow of money between households and businesses. It also demonstrates how labour is exchanged for money, and how that money is used to purchase goods and services. This tells us about the financial relationship between consumers and producers in our market system.
FIGURE2 One of our roles in the economy is to be a consumer, a buyer of goods and services.
600 Jacaranda Humanities Alive 8 Victorian Curriculum Third Edition
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