Personal Finance Essay

713 Words3 Pages
Assignment1ACollins 1. Describe two examples of important things that financial planning skills can help you do, and explain why these things are important to you personally. (4­6 sentences. 2.0 points) Answer: give financial security and have good investments. 2. List two examples of goods you have purchased in the past or may purchase in the future. (Complete sentences are not necessary. 0.5 points) Answer: I plan on purchasing a phone in the future, and i have purchased clothing in the past. 3. List two examples of services you have purchased in the past or may purchase in the future. (Complete sentences are not necessary. 0.5 points) Answer: getting my haircut, and getting my eyebrows done. 4. One of the functions of money is as a store of value. How does inflation affect money's ability to store value? (3­6 sentences. 2.0 points) Answer: the expenses of materials to make the product changes and that makes the prices of goods to go up and fluctuate. 5. Imagine that you are considering moving to a new country and looking for a job there, but you first want to make sure the country has a strong economy. Describe at least three economic factors that you would want to research as evidence of the economy's strength or weakness, and explain how each factor would affect your decision to move there. (4­6 sentences. 3.0 points) Answer: one economic factor i would probably look at is Gross Domestic Product (GDP) and this is the sum of non government spending. Another is if the cost of living is affordable and you can live comfortably. and another thing i would look at is the unemployment rate. 6. Explain which economic system (market, planned, mixed, or traditional) you think is best for consumers. Describe at least one reason why you think this system is best for consumers. (4­7 sentences. 3.0

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