Who to produce for? No economy can satisfy everyone’s wants. Therefore, decisions must be made about who should get the goods and services that are produced. Some people are stronger and work harder – should they get more goods and services? How do we include people who are unable to work, for a variety of reasons? Should everyone get an equal share? These are important economic questions with no definitive answer.
Public and private sectors In an economy, decisions about resources can be made by the public or the private sectors. The private sector is not owned by the State. It consists of individuals or organisations that are free to set up and run businesses and supply goods and services to anyone. The private sector mainly consists of businesses operating for a profit such as Apple, Ford and your local shops. The private sector also includes charitable organisations that use fundraising and other means to pay for the provision of services that are not provided by commercial or public sector organisations. Examples include the GAA, the Red Cross and Greenpeace. The public sector refers to organisations owned and controlled by the State, including government departments and State agencies. Examples include the Department of Education and Skills, the Health Service Executive (HSE), the Army, the Gardaí and local authorities. Many public sector services are provided free and paid for by the government through taxes.
¶ ¶ Pair work
1. Seán works for the HSE as a manager. Catherine, Sean’s wife, works for a local Toyota dealer. Which person works in the private sector and which person works in the public sector?
2. Brainstorm a list of ten jobs. 3. For each job in your list, decide if the worker would be employed by the private sector or by the public sector. (Note: some jobs could be in both sectors).
