Economic Decisions
Virginia SOL CE.12
Describe the United States economy and its critical components.
What students need to be able to do
- Evaluate the shared fundamental principles and connection of free enterprise and democracy.
- Describe the critical components of the U.S. economy including limited government, private property, markets, consumer sovereignty, and competition.
- Explain the concept of inflation and the effect of supply and demand on consumer prices in a market economy.
- Describe the types of business organizations and the role of entrepreneurship.
- Explain the role of consumers, producers, and government interactions in the economy.
- Explain how financial institutions fuel economic growth by channeling funds from savers to borrowers.
- Analyze the role of Virginia in the U.S. and global economies with emphasis on technological innovations.