What I feel is the most important thing in Economics

There are a lot of things I have learned this year in Economics. And everything I learned was very important in my mind. But if I had to choose one thing to be the most important it would have to be economic systems. With Economic systems there is democratic socialism, authoritarian, capitalism, pure market and or command, and traditional.

Democratic Socialism: is a description employed by numerous socialist movements and organizations, to emphasise the democratic character of their political theory.

 Authoritarian: the enforcement of strict authority at the expense of personal freedom to do anything you want.

Capitalism: is that the financial system that's supported the personal possession of some type of capital.


Pure market/command: An economy in which production, investment, prices, and incomes are determined centrally by a government.

Traditional: an underdeveloped economy in which communities use primitive tools and methods to harvest and hunt for food, often resulting in economic growth.

I feel economic systems are so important because it is our whole trade. It's the only reason we have our everyday items. Without an economic system Walmart and other big stores wouldn't exist.

Our economic system is world wide because of trade, etc;

Investments

Don't trust all brokers or registered representitives when it comes to investing.
Know your facts!

• The differences between stocks, mutual funds, and bonds:
• Stock: The partial ownership of a company
• Mutual Fund: A bunch of stucks in one investment managed by a professional
• Bond: People buy bonds from a city/state government. You are loaning money to the government and they pay you back with interest.
• Risk has a lot to do with investing because the thing you investeted in may not be what you expected or what you were told to expect. You may or may not get your money back when you invest. There are so many risks when it comes to investing so when you want to invest make sure you know your facts. It all depends on what you are investing in.
• Time has everything to do with investing because the more time you leave your money invested the more money you will get in return if you are in the right investment. The more time you take the more the risk you take. Time is patience.
• Investments differ from saving accounts because saving accounts is your own money that you put aside to save for emergencies and for the future. And when you are investing you are spending money to gain money.
• Article Link: Investing
• Video Link: how real estate investing can produce predictable income
• Three things a person should know before investing:
• Reduce your costs
• Beware of risks
• Invest in low cost

Investing will help your money grow if you do it right!

Sources:

1.  http://www.businesscartoons.co.uk/shop/images/uploads/5784bwc.gif. N.p., n.d. Web. 15 May 2013.

2. https://www.youtube.com/watch?v=qAPFwna-K7I. N.p., n.d. Web. 15 May 2013.

3.

https://www.google.com/

    .  N.p., n.d. Web. 15 May 2013.

4. My own knowledge

5. http://bucks.blogs.nytimes.com/2013/01/22/ 

     the-appeal-of-investments-that-cost-more-and-return-less/. N.p., n.d. Web. 15 May 2013.



Buying a Car

Don't let car salesmen trick you into buying a car until you know all the facts!



 

• How to obtain a car loan or any loan:
• Creat your loan listing
• Investors commit funds to your loan
• Recieve your money
• Make monthly payments
• When buying a car down payments are important because it shows your intention to make a purchase. It also impacts your monthly loan payment. The bigger the down payment the lesser the loan.
• When buying a car the time frame of a loan affects you because it determines what your payments will be and how long you will make payments.
• Overtime the value of your car will go down because of wear and tear. And while the value of your car goes down the newer cars become more valuable and more efficient.
• Before buying a car know your rights and responsibilities, the invoice price, and know your credit history. The worse your credit history is, the more you will have to pay on your car loan.
• Article Link: How to buy a car
• Video Link: Drive Free Cars

Don't let car dealers tricking you into paying for something that you don't need to.

Sources:

1. http://www.freecreditscore.com/images/

     CR09350_buying%20a%20car%20with%20bad%20or%20no%20credit_400x300.jpg

. N.p., n.d. Web. 15 

     May 2013. 

2. http://www.prosper.com/loans/how-to-get-a-loan/step-1/. N.p., n.d. Web. 
 15 May 2013. 

3. http://www.claybennett.com/images/archivetoons/car_lot.jpg. 

  N.p., n.d. Web. 15 May 2013. 

4. https://www.youtube.com/watch?v=BKyV8CTHeJ0. 

N.p., n.d. Web. 15 May 2013.

5. http://www.edmunds.com/car-buying/how-to-buy-a-car.html. N.p., n.d. Web. 
 15 May 2013. 



Retirement -It's Never too early to save

Saving for Retirement is a good thing. The sooner you start the better of you will be when you retire.

 

 

 

• IRA is YOUR own invested money. While a 401 (K) is invested by where you work/ by your employer.
• Social Security: : "A federal insurance program that provides benefits to retired persons, the unemployed, and the disabled." -Medicare-
• In society today, Social security is a big issue because there is no money, the government is now taking the money of working people to pay social security for people who are retired.
• Retirement relates to personal savings because if you save your own money and not just money invested by your work, the better of you will be when you retire. If you put aside your own money and the money invested by your work for retirement, you will find less of a struggle with money when it comes time to retire.
• It is important to start looking at retirement funds now instead of later because if you look at an investment calculator the more you put towards retirement now, the quicker it adds up over however many years. If you start saving later it will be worth less.
• Article Link: Next Big Issue? Social Security Pops Up Again.
• Video Link: Are you on track for retirement?   

• 

  The road to retirement or the road to work? You need work to retire.

   

   

   

   

   

   

   

   

   

   

  
  

  
  

  
  

  
  

  
  

   

   

   

   

   

   

   

   

   

Sources:

1. http://mannacapitalmanagement.com/financial-advisor-blog/wp-content/uploads/2013/03/ 

     saving-for-retirement.jpg. N.p., n.d. Web. 15 May 2013. 

2. http://a57.foxnews.com/global.fbnstatic.com/static/managed/img/660/371/retirement_road.jpg?ve=1. 

 N.p., n.d. Web. 15 May 2013. 

3. http://www.bankrate.com/brm/news/dollardiva/19990903c.asp. 

N.p., n.d. Web. 15 May 2013. 

4. http://www.google.com/  

#hl=en&gs_rn=12&gs_ri=psy-ab&cp=26&gs_id=h4&xhr=t&q=definition+of+social+security&es_nrs=true&pf=p&sa  

 fe=active&output=search&sclient=psy-ab&oq=definition+of+social+secur&gs_l=&pbx=1&bav=on.2,or.r_cp.r_q  

 f.&bvm=bv.46471029,d.aWM&fp=355101ce8d8dd2c3&biw=1006&bih=600. N.p., n.d. Web. 15 May 2013. 

5. http://www.nytimes.com/2010/03/23/us/politics/23fiscal.html?_r=0. 

N.p., n.d. Web. 15 May 2013. 

6. http://money.cnn.com/video/pf/2013/02/25/pf-ate-retirement-rules.cnnmoney/index.html. 

N.p., n.d.      Web. 15 May 2013. 

7. http://www.daveramsey.com/article/investing-calculator/lifeandmoney_investing/#/entry_form. 

N.p.,      n.d. Web. 15 May 2013.

Credit Cards

This is an example of what credit cards may look like.

• There are many types of charges you can have on a credit card. Some of them are annual fees, application fees, cash advance fee, balance transfer fee, finance charge, late fee, over-the-limit fee, APR, interest rates and return check fees.
• You can calculate your rate each month by dividing the APR by 12 
• APR's may be tied to a rate of interest  
• You have to be eighteen years old to get your first credit card without parental consent. Don't give out too many credit card applications only a few.
• You need to prove that you have a source of you own income before you will be given a credit card. The credit card company has to decide that your income is okay for you to have a credit card.
• Pros:
• convenience
• peer pressure
• rewards
• building credit
• Cons: 
• credit card debt
•  late payments
• debt
• hidden fees  
• Tips: Choose a credit card wisely, Don't keep spending just because you have the power too, be smart with what you spend. Spend only on emergencies.
• Video Link: Dave Ramsey- How to get out of debt
• Article Link: College Students and Credit Cards

You can never have too many credit cards. Yes you actually can
The less you have the better of you will be.

Sources:

1. http://credit.about.com/od/creditcardbasics/tp/credit-card-fees.htm. N.p., n.d. Web. 14 May 2013.

2. https://www.citicards.com/cards/wv/html/cm/student/credit-card-abcs/how-credit-cards-work/  

finance-charges-and-fees.html. N.p., n.d. Web. 14 May 2013.

3.http://credit.about.com/od/credit101/tp/firstcreditcard.htm. N.p., n.d. Web. 14 May 2013. 

4.http://moneymindedlearning.com/wp-content/uploads/2013/01/credit-cards.jpg. 

N.p., n.d. Web. 14 May      2013. 

5. http://blog.lendingclub.com/2008/06/03/the-pros-and-cons-of-credit-cards/.

 N.p., n.d. Web. 14 May      2013.  

6. Google, and Youtube for Images/Articles/Videos

Personal Budget

• Fixed expense is an expense that will cost you month to month. Such as rent, mortgage, or car payments. While a flexible expense will vary from month to month. Such as gas, phone, and electric bill. Gots to keep yourself warm and connected!
• Compound interest is interest calculated on both the principal and the accrued interest. and Simple interest is interest paid on the principle alone. 
• Saving money is really important  because the earlier you save, the more you save. Also, You can control when you start and how much you save; No one else controls what you save. If you save, you will have money for emergencies.
• Advice: Save as much as you can, it will help you in the future! Trust US!!!
• It's okay to spend money, but not on things you don't need or will not use. Spend on necessities not wants.  
• Link: Lessons I wish Mom had taught me
• Video Link: How to set up a budget
 


 Sources:

1. https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi9TuSa6SPGBSCdrgqraKYAWrmbHEJ6M1h7rSILSq9ts_JqwOD05Nvll_MPTwM4E9qxVacB2ZBuLbtwWIVJsxCC1ovYrzBsqxWDvKD3Sp58A7oDOVlfWycrrzaAZbTE90ML1ri1I_XKviA/s1600/ 

     budget-cartoon.JPG. N.p., n.d. Web. 13 May 2013. 

2. http://online.wsj.com/public/page/news-personal-finance.html. N.p., n.d. Web. 13 May 2013. 

3. http://www.ultimoslibros.com/wp-content/uploads/Personal-Budget.jpg. N.p., n.d. Web. 13 May 2013.

4. Economics Notes