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NAME DATE CLASS Guided Reading Activity The American Free Enterprise System Lesson 2 Roles and Responsibilities in a Free Enterprise Economy Review Questions Directions Read each main idea and answer the questions below. Refer to your textbook as you write the answers. A. Main idea Entrepreneurs are vital to the success of a free enterprise economy because they start businesses. Why do entrepreneurs try to start businesses or develop new products Are they more likely to succeed or fail Copyright McGraw-Hill Education* Permission is granted to reproduce for classroom use. Who benefits from the activities of entrepreneurs and how B. Main idea Consumers tell businesses WHAT to produce in our economy. Why is the customer always right Explain how consumer sovereignty helps drive progress. C. Main idea In our mixed free-enterprise economy the government helps oversee production protects consumer and business rights and acts as consumer. 1. How does the government act as protector of the economy 2. What services and goods does the U*S* government supply its citizens 5. Why do all levels of government consume so much 4. Why is government regulation important D. Main idea Though government involvement means the United States economy is not a purely capitalistic one the public demands the benefits that government involvement provides. 1. Why is a mixed or modified free enterprise economy necessary Why not do away with government regulation Summary and Reflection Directions Summarize the main ideas of this lesson by answering the question below. Refer to your textbook as you write the answers. A. Main idea Entrepreneurs are vital to the success of a free enterprise economy because they start businesses. Why do entrepreneurs try to start businesses or develop new products Are they more likely to succeed or fail Copyright McGraw-Hill Education* Permission is granted to reproduce for classroom use. Why do entrepreneurs try to start businesses or develop new products Are they more likely to succeed or fail Copyright McGraw-Hill Education* Permission is granted to reproduce for classroom use. Who benefits from the activities of entrepreneurs and how B. Main idea Consumers tell businesses WHAT to produce in our economy. Who benefits from the activities of entrepreneurs and how B. Main idea Consumers tell businesses WHAT to produce in our economy. Why is the customer always right Explain how consumer sovereignty helps drive progress. C. Main idea In our mixed free-enterprise economy the government helps oversee production protects consumer and business rights and acts as consumer. Why is the customer always right Explain how consumer sovereignty helps drive progress. C. Main idea In our mixed free-enterprise economy the government helps oversee production protects consumer and business rights and acts as consumer. 1. How does the government act as protector of the economy 2. What services and goods does the U*S* government supply its citizens 5. 1. How does the government act as protector of the economy 2. What services and goods does the U*S* government supply its citizens 5. Why do all levels of government consume so much 4. Why is government regulation important D. Main idea Though government involvement means the United States economy is not a purely capitalistic one the public demands the benefits that government involvement provides.

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