SS10.E.4
Describe the role of government in a market economy, including promoting and securing competition, protecting private property rights, promoting equity, providing public goods and services, resolving externalities and other market failures, and stabilizing growth in the economy.
Describe the role of government in a market economy, including promoting and securing competition, protecting private property rights, promoting equity, providing public goods and services, resolving externalities and other market failures, and stabilizing growth in the economy.
UP:SS10.E.4
Vocabulary
- positive externalities (spillover benefits)
- negative externalities (spillover costs)
- public goods and services
- tragedy of the commons
Knowledge
Students know:
- The roles of government in a market economy.
- The purpose of each of the government's roles in a market economy.
- How to identify examples of the government acting in each of its roles in a market economy.
- The different types of market failures.
Skills
Students are able to:
- Identify the ways in which governments, including the United States government, participate in the economy.
- Determine the impact of government actions in the market.
Understanding
Students understand that:
- There are specific causes market failures.
- Government action can sometimes correct for failures of private markets.
- Government actions impact the market.
