BUSINESS ECONOMICS
ACTIVITY NO.1
May C. Macalelong
12-OPAL
DIRECTION: Your task is to write down in the first row of boxes at least five economic issues we are recently experiencing in our country. Indicate in the second row of boxes what would be its
possible effects in our purchasing power as consumers. Use a separate sheet of paper for your answers.
POVERTY
So poverty has affected
our power to purchase as
a customer because we
only focus on buying our
limited daily needs such
as food, for the house
and we can no longer
buy the things that make
us happy or the things
that give us a comfort.
CONTEMPORARY ECONOMIC ISSUES
UNEMPLOYMENT
Without a work, it will
be difficult for us to
meet all of our demands,
including those for food
and other necessities.
Another issue is that we
cannot simultaneously
expand our economy.
And we will have a hard
time to live in this kind
of society without a job.
EXCHANGE RATE
Therefore, when
currencies in other
country have risen, the
cost of things has
climbed due to an
increase in their local
worth, which has
impacted our power to
purchase what we desire
from international
businesses.
INTEREST RATE
Our ability to buy as
consumers has been
impacted by the rise in
interest rates because
when we borrow money,
we will be hesitant to
buy necessities because
we will instead add it to
our debt and interest
payments, which will
prevent us from saving
money, especially if we
don't have a job.
INFLATION
Due to the inflation rate,
the value of money is
decreasing in our
country where we can
buy only a few products
at a large amount. So it
affected our power to
purchase our needs and
our comfort due to the
increase in the value of
goods and the decrease
in the value of money