Today in class we continued our conversation on  economy with a wonderful presenter, Mr. Lewis! Mr. Lewis spoke about a variety of topics! We were able to get a great sense of how the US and the world economies work and how they have changed! 

This weekend for homework you will be completing a two part blog. Please make sure to read all the way to the bottom of this post to ensure you have read all of the directions!!

Part A: For this part you will be writing two paragraphs. In these two paragraphs you will be answering 2 of the following questions.

Choose two:
What should be the most important factor in economic decision making?
Why should we be concerned about economic growth in other countries?
Why is it important to invest money wisely?
Why is it important for you to prepare for your economic future?
What does it mean to be “valuable”?

 Part B: For this part of your blog you will be answering this question in at least one paragraph! You may certainly do more research if you would like!!
As you heard today, two weeks from now Facebook will become "public", and anyone will be able to buy shares in Facebook. Would you buy shares in Facebook? Give your answer and support it with three facts you learned today.

Remember to check your work for crystal clear clarity and edit very carefully! Don’t forget to write your work in Word to make sure you don’t miss anything!

This just in:
Mr. Lewis sent Ms. D and I this link! We all thought you might find it interesting and relevant to our discussion today!
http://online.wsj.com/article_email/SB10001424052702303877604577382442731310080-lMyQjAxMTAyMDAwNDEwNDQyWj.html?mod=wsj_share_email#mjDropdown

Erin
5/4/2012 07:43:40 am

Why is it important for you to prepare for your economic future?

Why is it important to invest money wisely

It it’s important to prepare us to the economic future because the economy can be unpredictable. Like the Stock market. The stock could be good one day, or go up or down. Are generation needs to know what we are supposed to do, and what happened when the Stock market goes up or down. The economy could go the same way. It is important to invest your money wisely because you have to fell find putting your money in a company. If the company is doing badly, that means that you will lose money, but it they do good, you make more money.

As you heard today, two weeks from now Facebook will become "public", and anyone will be able to buy shares in Facebook. Would you buy shares in Facebook? Give your answer and support it with three facts you learned today.


I think that I would buy a share with Facebook. More and more people are getting on Facebook. In January of 1919 Facebook made $170.00 then in November of 1923 they made $87,000,000,000.00.Bonds did help the 2008 crisis. I also would not at the same time. Bonds can be very tricky. If they do badly, you do bad. As I said before it is like the Stock Market. You could lose a lot of money.

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Meaghan
5/4/2012 08:19:28 am

We should be concerned of the economic growth in other countries. This is because of alliances, and trade. We got a lot of oil from Japan. Once the earth quakes and tsunamis hit, they weren't able to supply us oil. If you look at the facts, on the day before the tsunamis and earthquakes hit, gas was at $3.77 (average) a gallon. Gas prices are now estimated to grow to over $5 in May 2012. Also, if China has a sudden down fall, we don't have anywhere else basically to get our money from. China may also ask for some of its money back, which is money we can't get. If we can't get them their money they may not want to trade with us, or give us loans anymore in the future.

It is important to invest money wisely. This is because if you don't do your research, and buy a share from somewhere just because you like the name, you may never get the same amount of money back, and you most likely will not make a profit. Also if you invest in a big company, you will end up spending a lot of money. Since stocks change every second, you have to get the investment off your hands quick, because usually the big company is up .5 points and then down 1.7 in a matter of seconds. Also if I were to invest money into a bank in Greece, and did not know that the interest rates were high, I may end up with an investment that I can't pay back.

I would not buy shares in Facebook. This is because of the fact that today Mr. Lewis even told us that it is not wise. He also said that more famous stocks, such as Apple and Disney, are way over priced. He also said that they don't do good most of the time. Today, (March 4, 2012 5:53 p.m.) apple is down 16.57, this is 2.87% less of what the high was (High: 578.36 Low: 565.17).

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gilly
5/4/2012 08:48:12 am

I have chosen the question why is it important to invest money wisely. I think that it is important to invest money wisely because if you do not invest your money wisely you can loose it all. It is also important to invest wisely because then you can be successful. The way you can be successful when you invest wisely because you can make money back. This is why I think it is important to invest wisely.
I have chosen what does it mean to be valuable. I think that to be valuable is for that thing to not have so much of that one thing. For example when Germany made a lot of currency so the cost of things became extremely high. To be exact it cost $87,000,000,000,000 to buy things at the super market. This is what I think to be valuable means.
I would not buy shares in Facebook. I think that it is just a fad and when something else comes out it will drop in value. Like how pets.com dropped but not exactly the same way. I also would not buy shares in Facebook because they are very expensive. This is why I would not buy shares in Facebook.

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andrew
5/4/2012 09:03:07 am

It is important to invest in your money wisely because if you invest with a bad company you can get scammed and lose your money. It is also important because you want to have a lot of money so if you invest wisely your money will not be abused and used the right way like Ethan’s dad was saying today in class today he said he counts the gold in the vault with guards all around him with guns. That shows how trust worthy he is with other people money and how he works with it. That’s why you have to invest in your money wisely.

It is important to for you to prepare for your economic future because if you do not prepare you won’t have much money and you won’t know what to do with your money. That is really important because if you won’t to get a job you have to kind of plan ahead for the economic future because you don’t know what is going to happen and you might end up with no job and you won’t be able to get a house either . That’s why it is important to prepare for your economic future.

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Hanna
5/5/2012 02:41:31 am

It is very important to invest money wisely, as Mr. Lewis taught us today. This is because if you buy a stock in a company, and they start to lose money, you will not make as much money as you thought you would, so you have to try to predict the pattern of the company’s income. If you invest in Joe’s Hot Dog Stand, you won’t make as much money as if you invested in Apple Computer. But if you make a bond with Joe’s Hot Dog stand, they will have to give you the same amount of money every time, even if they are losing money. Another thing is that if you invest money in a company, they could have an economic downfall, and the company wouldn’t be worth much money; it wouldn’t be as valuable.
To be “valuable” means to be worth a lot of money. If a company is valuable, it is worth a high price. This also means that the company can be sold for a high price, and the people selling the company will make a lot of money. Money can also be valuable on different levels. A one-dollar bill from the 1800’s is a lot more valuable than one from today, because it is harder to find. Money can also be a lot less valuable, depending on how much someone has. This is what happened to many countries; they got more and more money, so things were higher priced for them, and money was worth less than is used to be. This would lead to an economic “bubble.”
Facebook is going to become public in two weeks. This means that now the stocks can be traded on an exchange, as opposed to being private, which means that the stock is issued to individuals or people from the company. I would not invest Facebook, because the stocks are expensive, one website said that they could be twice as expensive as Google. It could be worth a lot of money, but it could also result in an economic bubble, and that would mean the stock would cost a lot of money, and when the bubble “burst,” it would result in the stock being worth a lot less that you bought it for. That us why I would not buy a share in Facebook.

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Maia
5/5/2012 03:22:19 am

 I think that we should be concerned in other countries economic growth because It could affect our economic growth. Other countries with more money could also gain more power. They could gain lots of power in trade, and even have power over small, poorer countries because they are richer. Paying attention to how rich other countries are can give America a sense in where they stand. Economic growth in other countries could benefit us too. It could be easier to do trade with them, and if we were having to loan them money a lot, we wouldn't have to do that anymore.
It is important to invest money wisely for many reasons. For one, investing really late in life can have it's downfalls. It takes a while for what you invested to give you ant money back, and if you invest in a small company, it will take them a while to become successful, if that even happens. If a company does not even become successful, then you will have invested in them for no self benefit. It's a big decision whether to invest in something or not, a choice each person has to make for themselves.
Since Facebook  is becoming public,a lot of people will invest in them. I probably wouldn't. Facebook is popular, but how long will it stay that way?  Companies like Myspace are no longer popular. If you invested in Myspace, then you really lost out, because other companies overran it. Eventually, something new will come along, and Facebook will no longer be popular. Instagram could overrun Facebook, actually. Then what would the point be in investing in Facebook? While there are some reasons why investing in Facebook would be smart, I wouldn't invest in it. 

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Claire
5/5/2012 05:48:55 am

I chose the 4th and the 5th question:
It is always important to prepare for your economic future because if something like bankruptcy happens, you can be prepared. So, you won’t be in panic and stress. A few years ago, we had a stock market crash, which shows that it’s not a good idea to keep all of your money in stocks because that kind of like gambling. It’s good to have savings. Also, you might want to have some emergency money.

Valuable can mean a lot. It can mean that it’s worth a lot. It could also mean that it’s very rare or important. It’s like a measure of worth. According to Mac dictionary the definition is: adj. precious, helpful. Synonyms: expensive, costly, priceless, dear, and important. Antonyms: worthless. Valuable things are different for everyone.

I don’t know if I would invest with Facebook. I think there are the pros and cons. The pros about investing with Facebook are that you would get A LOT of money from it. I know this because the company’s worth over 86 BILLION dollars. Also, Facebook is extremely popular and more and more people will join it. A con to investing with Facebook is lawsuits. If Facebook is sued and is found guilty, you would lose a pretty good amount of money- even if you were investing a little bit.

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Meagan
5/5/2012 08:03:58 am

For the first part of the blog I chose the questions; why should we be concerned about economic growth in other countries? And what does it mean to be “valuable”. I think we should be concerned about the economy of other countries for many reasons. One reason is, if their economy goes down then depending on what country we may loose some valuable trade items. If the country is unable to support themselves, then they won’t be able to give to other countries. Also if a countries economy goes down if we are a trading partner then we may have to bail them out, or loan them money.
What makes something “valuable”? Well there are many things that contribute to that answer. One thing is age, if something is really old then it will cost more. A second thing is, mistakes, if there are mistakes on the money then people think it is rare and might not appear again so it becomes valuable, and more expensive. A third thing is rarity, if something is rare then people will pay more for it then they would if it wasn’t rare. One last thing is if there was a special occasion. For example, WWII, when the Japanese attacked Pearl Harbor, the Americans didn’t want the Japanese to be able to take over our currency, so they minted special bills that said Hawaii on the back so the Japanese wouldn’t be able to do that.
Personally I wouldn’t. My reason is, that as soon as Facebook becomes public the prices will shoot up because it is so popular. I mean yes the prices are starting at 25-30$ but that wouldn’t mean that I would be able to get it for that price, I would probably have to get it for about 50-75$. When a company is “private” only certain people are allowed to buy stocks in the company, so it is less money for the company. When a company is “public” anyone can buy a stock, meaning that depending on the popularity of the company it will bring in more profit. For a private company to become a public company, the company must go through a “initial public offering” of its stock.

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Sierra Flores ;P
5/5/2012 09:26:34 am

It is important to invest your money wisely because if your like me and spend your money the second you get it on gum or candy you’ll never have any money in the future to invest in a house of food. But, if you save up all your money in a bank account only your parents can use it until your 18 years old and you will have money for essentials like a house or food. Another reason it’s important to invest in your money wisely is because some people can’t handle a lot of money which brings me back to the whole bank account option, I only have like $395.00 but by the time I’m older I’ll probably have a lot more. My last reason is that it can sometimes be scary to have so much money in the bank you could be thinking “what if my money gets lost?” or “what if this bank is a scam?” let me just put our thoughts to rest because your over thinking everything the bank is very safe. That why it’s important to invest your money.
I think the biggest and most important factor in economic decision making is that you have to think about how it will affect other people. In china their government thinks about how they can better their economy but, look how polluted and populated they are. They are polluted because of all of the factories and unhealthy gasses in the air. And the reason they are so populated is because all of these people are either migrant workers or they work in factories. China never thinks about how it will affect the people but, how it will affect the income they receive. That what I think is the biggest factor in economic decision making.
A lot of the tween’s and teens and even some adults have been obsessed with Facebook, Twitter, Instagram, and Tumbler etc. These sites are used to connect with people over the internet. In particular, facebook is a private site what this means is that no one can buy stocks in it. Today facebook is worth about 100 billion dollars. It is said that facebook might become a public site like apple. That’s what I think about facebook being a private site.

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Nick S
5/5/2012 11:54:27 pm

I think we should be concerned about economic growth in the counties. This is because if an opposing country has too much economic growth they can over throw us economically. This would mean that if a country were to grow too much economically they could over take another country. For example China has overtaken Japan and now ranked the second largest economy with 5.8 trillion dollars.

It is important to invest money because there are many reasons why you should. One of the reasons is because it could satisfy your financial needs. Also when the stock market goes wonky [like usual] you can always have that big or small investment that you can use. And that is why it is important to invest money wisely.

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Leo $
5/6/2012 01:08:06 am

It is very important to invest money wisely. If you don’t invest your money wisely other wise you could lose a lot of your money. If you invest your money in a stock that is doing very well and is at a high point you almost definitely lose money because it is at a high point and it will go down. but if you invest at a neutral price then it might go up and them you will earn money.
Valuable can have a couple different meanings but it is mostly used when people are talking about how much something is worth. A definition of valuable is something that has monetary value. Lets just say you have a Ford Focus (car) but you also have a Maserati. The Maserati is a lot more valuable then the Ford Focus.
I do not think it would be a smart idea to invest in Facebook’s stock when it first goes public. I think that Facebook is way over rated and will have a very high price for a stock. I think that once people get over the hysteria that face book is going public; the people who bought the stock will realize that Facebook isn’t that great and the stock price will plummet.

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Delia
5/6/2012 02:57:28 am

It is very important to invest money wisely. If you invest wisely, you can make a lot of money. If you invest in the wrong company or product you can lose money. Investing in the right company (in stocks) can make it easier to sell or trade that stock. No one wants a bad stock. Investing wisely can also make it much easier when the economy plummets. It would not be wise to invest in the company that Mr. Lewis mentioned that sells dog food for less than they bought it. Obviously, you would lose money. Investing wisely is important.

It is important to prepare for your economic future. In my future, I will invest in stocks and I should be educated about economics. By preparing and learning about the economy, I am more equipped to go into economics. I can invest wisely, like I said in the paragraph above. I now know a little more of what to do so when I am an adult I am not an amateur. When something happens in the economy I can just say, “Oh that is the stocks!” Stocks and the economy are an important part of people’s life. They are something that we should prepare for.

In two weeks, Facebook becomes a public stock. Everyone’s question is should I invest in it? If I were them, I would. Facebook is a company that is growing steadily and is worth a lot. In just a few months Facebook went from a value of $9 billion to $52 billion. Experts even say that they think it will be worth $85 billion. That really shows you that you should invest in it. If were able to invest in stocks I would invest in Facebook.

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jacob
5/6/2012 05:17:22 am

Why should we be concerned about economic growth in other countries?

We should be concerned about economic growth in other countries because it can affect the value of our dollar. For example, if a country like Greece goes bankrupt than the other countries around it with the same currency (the Euro) will also be affected. They would be affected because they would have less money circulating in their economy changing the value of the Euro. This will increase the value of our dollar.


Why is it important to invest money wisely?

It is important to invest money wisely because in the future if you invest your money wisely you will have more money than you did before you invested it. For example, if you invested $100 in Facebook and Facebook stock raises $10 over night, in the morning you’ll have $110. If you put a $20 bill under your mattress twenty years later the value of the bill will be $4.88 because each year the value of the dollar decreases by 4.1%. Hypothetically if you invest your money in a stock that increases by 4 points a year you will be losing .1% of your money a year.

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Lara
5/6/2012 06:35:39 am

A.
Why is it important to invest money wisely?
It is very important to invest money wisely. If you don't invest money wisely you could lose all of that money. You could also be looked at as a bad investor and not be able to invest in certain places. People may also take big advantage of you.

Why is it important for you to prepare for your economic future?
You really need to plan for your economic future. It is hard to have the money you need in less you plan ahead otherwise it won't be available to you. If you lose your job you will then have money at hand. If the economy goes bad you will have something to hold your family up with. You also need to have money to make money.


B. Would you buy shares in Facebook? Give your answer and support it with three facts you learned today.

I went home and did a little more research on this topic. My answers are base somewhat on this article.
http://www.forbes.com/sites/davidthier/2012/02/01/why-would-anyone-buy-facebook/

Facebook has has room to improve but it could just as easily fail. It appears that nothing big is going to happen so the shares will most likely not grow. There is plenty more companies that you could invest in with better shares. Based on these, I would not buy shares from Facebook.

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ALEX J
5/6/2012 06:40:18 am

Part 1
Question 1: what should be the most important factor in economic decisions making?
I think that the most important factor in economic decision making is that you got to make sure that you understand what you are trying to do because if you don’t understand you can make a very bad mistake for example if you try to donate money to a company and you don’t understand what donating is you might buy a bond instead. Another example is you try to invest in a company but you don’t know how to invest you might just donate money instead. That’s why I think understanding what you are doing is the most important factor of economic decision making.
Question 2: why is it important to invest money wisely?
It is important to invest in money wisely because if you don’t you won’t have money for things you need in the future because of lack of knowledge or getting bad advice from other investors. Stacey Bumpus (a gobankingrates.com writer) wrote “While the above stories give some insight into why investments can go wrong, let’s take a deeper look at how this occurs:
• Bad advice: A lack of knowledge about the market encourages many beginner investors to seek the help of others. While this is not a bad practice, you almost have to conduct as much research on who you’re seeking investment advice from as the action you’re being advised to make.
• Bad choices: Whether you’re the victim of bad advice or a lack of education, the complex nature of the market could easily leave you in a position for making bad choices that could cost you big.
• Bad timing: As mentioned in Larry’s story, the timing of the financial crisis had a lot to do with his investment losses. Even though in his scenario, he’d also made some bad investment choices, many people during this time saw their investments go wrong at no fault of their own.
• Bad scams: People can become the victim investment fraud whether they’re a beginner or expert because scams are constantly changing. To protect yourself, know the top investment scams that could stand between you and a positive return.
So how can you avoid having your investments go wrong under these circumstances? Here are some suggestions:
• Diversify your portfolio: As noted by Larry Swedroe, it’s highly important to make sure your portfolio is diversified. Since there is no one way to accomplish this, it’s advisable to seek the help of a reputable professional to make sure you have a good mix.
• Don’t just research, get educated: So many bad choices and scams are the result of naivety. Under many circumstances, conducting a certain amount of research could help fill in some blanks, but as discovered by Pelczarski, sometimes research isn’t enough. If you don’t know a foreign industry well enough, sometimes it’s best to walk away.
• Ride the waves of the market: Most experts agree that short-term investors gain much less than long-term investors because the latter understand how to ride the waves of the market. As with the financial crisis, huge fluctuations do occur, which is why experts don’t recommend selling out of fear when the market drops. Instead, keep your money where it is if you have a solid investment and wait for the market to rise again.
• Develop a strategy: Many people jump into investing without a strategy to follow. This is critical to your long-term success. So take to think about your goals, including retirement or general financial freedom, think about how much money you have to invest then investigate ways to help you plan the best route to reach your goal.
Good investing is usually looked at as a long-term strategy instead of a way to get rich quick. If you remain diligent in your efforts, there’s no doubt that you could become a wise pro at the investment game before you know it.” This shows what can go wrong in investing and how to avoid it.

Part 2
Even though Facebook is very successful I still wouldn’t buy shares in Facebook because it may but most likely not go out of business so the share is useless. Plus if it went out of business you can’t sell the share. The share could fall in value. That means the share might not rise in value but fall and fall badly. The stocks are volatile which means the stock price can vary from day to day. This can happen depending on the company. For example if I have a share in apple and apple is doing badly my share value can fall. But if apple is doing well my share value can go up. That’s why I won’t buy shares in Facebook

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Sophia
5/6/2012 09:15:17 am

Why should we be concerned about economic growth in other countries? The economic growth of other countries concerns everyone. One thing is that Greece and England and all of those countries in Europe have the same currency. If one country goes bankrupt or is in debt than the others start to fall too. The United States trades a lot with those countries but if they fall and go in debt that we go with them. We should be concerned about the economic growth in other countries.

Why is it important for you to prepare for your economic future? It is important to prepare us for our economic future. If we learn the economic things now rather than later than it is more likely to stick in our brains, don’t you think? Also if we learn about what is happening now, the bad and the good, than when it is our turn to make the decisions we will know what has and hasn’t worked in the past. We will be more prepared. It is important to prepare us for our economic future.

Two weeks from now Facebook will become "public", and anyone will be able to buy shares in Facebook. I think that I would buy a share from Facebook. Facebook is a popular social network that a lot of people go on. It will probably go up for the first few weeks and then go down a little. I think that it would be wise to buy a share on Facebook. I would probably buy a share from Facebook.

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ashley
5/6/2012 09:30:37 am

Part A Question 1-When something is valuable it means it's worth a lot of money. If something is from the stone age and it's put up to buy today it would be a lot of money because no one else has it. Some valuable things are usually broken, but that proves that it's rare and unique. Valuable things are sometimes important you.


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ashley
5/6/2012 09:30:45 am

Part A Question 2-It is important to invest money wisely because the whole purpose of investing is to gain money, if you don't do it smartly you will lose money instead. When you're investing money make sure the company is trustful. When you're investing money you are trying to increase your money. If you don't invest your money wisely, your money will decrease instead of increase. The reason why you invest is to earn more money. If you don't invest wisely, instead of getting more money you would lose the money you invested.

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ashley
5/6/2012 09:31:22 am

Part B-Yes I would buy shares in Facebook. Three facts I learned about Facebook are:
1:A lot of people go on Facebook everyday. In my research, I found out that 250 million people use Facebook and 175 million people log on everyday.
2:Facebook is priced reasonably. This means that the price is right for this kind of company. It's not too small and it's not too expensive.
3:In 2011 Facebook collected 3.71 billion dollars. If they made THAT much money last year, they would make more this year. Especially if Facebook is becoming public more people would know about it and buy shares.

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Austin
5/6/2012 09:46:45 am

What should be the most important factor in economic decision making? I think that the most important factor in deciding an economic decision is that everybody’s voices should be heard. I think this because there are more people than maybe a couple in a certain place that should have their voices heard. I also think this is important because other people may not agree with the decision that is being made. I also think that protests could start to stop this decision.
What does it mean to be “valuable”? The word “valuable” could mean many things. It could either cost a lot of money or it can be that something means a lot to somebody. For instance something that is valuable to you could be something that was passed down to you or even your favorite toy. Something that costs a lot of money could be an autograph or an antique.
Would I buy a share in Facebook? I think that I would buy a share in this because if I buy a share today it can be lower than another price in the future. I would also buy a share because Facebook is getting more and more popular and this can make my share more valuable and could get more money. i also think this is a good idea to invest in this because if I own a company or some business it can benefit my business.

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ava
5/6/2012 10:37:33 am

After the great presentation from Mr. Lewis I learned so much about our economy. One thing I learned was it is important to invest your money wisely. As you all know, I hope, is that we all can’t be multi millionaires like some people. Money to us is a surprise not a given. When you invest in something you are giving yourself a 50% chance of getting it back. There is no guarantee that you will even get money back at all. If you don’t invest your money wisely it can all disappear in a heartbeat.

It is really important for you to prepare for the economic future. In the future we will not know if everything will come to a crash or surprisingly shoot right back up. There is no guarantee that you will have a job or a home so we start saving in bank accounts and what not. If you start saving and preparing you can be guaranteed a happy future in the economy.

As you know Facebook will become public in two weeks (anyone can buy shares). I don’t think I would buy a share in the Facebook Company for several reasons. From what I heard from Mr. Lewis and from experience that investing in a company doesn’t promise that you will get your money. I wouldn’t want to risk losing my money to an online company that might not be here in 10 years. I know that there are many more networking sites that might outrun Facebook like Instagram, AOL and g-mail. One of the biggest reasons is that people haven’t really started using Facebook until 2011-2012 so people might stop caring and the company will die down.

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Meredith
5/6/2012 10:46:32 am

Why is it important to invest money wisely?

You can invest your money in a lot of ways. One way is for your retirement and another is for college. Investing your money means the use of money to make more money. Investing your money helps plan your future. If you are investing for retirement, you want to invest right because this is going to be a huge part of your life. You don’t want to invest in the wrong hands because you’re then going to end up worrying about your retirement before it happens. For investment in college, you don’t want your investment to get messed up because this is a huge step for you in education. This will help you get jobs, which helps you make money. After college is really when your life is getting started. If your investment doesn’t go as planned, there will be a pause in your life and it may take a long time for you to find the money you had before.


Why should we be concerned about economic growth in other countries?

We should be concerned about economic growth in other countries because are economies are all connected. We trade lots of goods with other countries, especially China. If you look on toys, pins, books etc. you’d most likely see MADE IN CHINA or PRINTED IN CHINA. China gets some things from us and if there economy is ahead of ours, why would they need to trade with us? If our country starts falling behind other countries they won’t want to or need to trade with us and we may not get some of the things our country needs for the people.


As you heard today, two weeks from now Facebook will become "public", and anyone will be able to buy shares in Facebook. Would you buy shares in Facebook? Give your answer and support it with three facts you learned today.

I, yes, would buy shares in Facebook. Why you ask? Well, if you don’t know what shares are here’s a definition; part ownership of a company. Facebook in less than two weeks is going public and anyone will be able to buy shares in Facebook. I would buy shares because you get to own part of a company, and Facebook is a well-known company. Another reason I’d buy shares from Facebook is, if the company your buying shares from does successful it would make more money, causing you to make more money. I know Facebook does well, and if I bought shares from it I would make more money than if I bought shares with another company. My final reason for why I would want to buy shares from Facebook would be if the company your buying shares from does really well, you can reinvest your money and make more.

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alexa
5/6/2012 11:05:43 am

PART A:

Why should we be concerned about economic growth in other countries?

If the economy is bad in other countries it will eventually affect our countries. For example: If my grandparents wanted to get a flight from Italy to New York, but there economy was bad they wouldn’t be able to afford the ticket neither would other people in their country because the economy was bad. That would affect us because airlines and airports aren’t getting the money they need from countries then that will eventually affect our economy. Also tourism could go downhill because we wouldn’t have tourist roaming around our country and buying things and going to restaurants, stores, Broadway shows etc.

Why is it important for you to prepare for your economic future?

It is important for us to prepare for our economic future because, for your financial future, so you will have money when you get older. It’s also important to make investments such as stocks, bonds and saving your money for when you need it. You want to put money In the savings account for two reasons: 1 reason is to save money because your bank pays you interest so your money grows in value. The 2nd reason is in case you need money when you’re not making money, example losing your job. Another example would be stocks, which would pay you more than the bank would pay you in interest; but there’s also a chance you can lose money.


Part B:
As you heard today, two weeks from now Facebook will become "public", and anyone will be able to buy shares in Facebook. Would you buy shares in Facebook? Give your answer and support it with three facts you learned today.
Yes I would buy shares in Facebook so I would invest money because I think a lot of people like Facebook and a lot of people use Facebook. So a lot of people would buy shares and so I would make more money. One thing is it’s a really popular website that a lot of people use around the world. Another thing is being that it’s so popular, if I would invest in it I would make money. The last reason would be if more people invest in it, the stock would go up, and I would keep getting money.

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damien
5/6/2012 11:16:55 am

What I think the most important factor in economic decision making is how much money you borrow or lend.I think that because lets say your country lends money without knowing the country you lent it too can not pay you back the right amount of money then you are in ecenomic trouble. And if you borrow too much mony from another country and you can not pay the money back then you are in debt.
I would not buy shares in facebook because of three reasons,a ton of people are buying shares in Facebook,it is a lot of money and Facebook can easily be hacked or you can lose your share.That is why I wouldn't buy a share in Facebook.

Reply
Emily
5/6/2012 11:20:20 am

It is important to invest money wisely because investing can be part of a long-term financial plan. When you work you make money, most of which is needed to pay your bills such as phone bill, cable bill, mortgage, and car payments. However, you also have to plan for big expenses that are far in the future such as planning for college and your retirement. It is important to carefully invest money so these items can be paid for. You should have a plan for investing that can be sort of safe, but also make you money. You don’t want to invest in something crazy and lose all your money. Always do extra research about the firms or companies you are investing in. Make sure you choose the firm wisely. The company should be responsible enough with your finances and should assist you in discovering enhanced investment opportunities. You also should set goals for a successful investment. There are a lot of questions you have to have answered for example, will I need money quickly; therefore should I have some short-term investments. Do I like risky investments, am I comfortable with possibly losing money. Always monitor your investment process. Don’t panic if your investments lose money over the short term, you should consider investing a long-term plan. It is important to prepare for your economic future because it can help get you to a better college and help support your retirement plan.

Economic growth in other countries is important to people here in America because we live in a global economy. The economies of all countries are dependent on each other. In this world economy we are depending on other countries for natural resources through imports and exports and they depend on us as well. In addition, we loan other countries money. If their economies are doing poorly it hurts our investments in them. If their economies are doing well, our economy does well. An example of the importance of these economic connections would be the American auto industry. We make lots of cars. Other Countries buy our cars. If their economy is doing poorly, they buy fewer cars, which hurt us, and Americans might lose their jobs and auto plants might close.

Facebook is going public in two weeks. Personally I would not buy shares in Facebook. The company has already produced billions of dollars. They have increased interest throughout the economic world and continue to awe-inspire the youth of our world. But I think Facebook is past its time. I think people are starting to use it less. My cousin, who just graduated from college, told me he doesn’t post on Facebook nearly as much as he used to. This may be a sign that the company is getting less popular. Facebook may also be a risky tech stock. Over the past few years many of these types of stocks made a lot of money at the beginning but then they lost all the money.

Secondly, when Facebook goes public the shares will be very expensive to buy. You will have to spend thousands of dollars to buy a few shares to maybe make a profit it the stock goes up. I think there might be safer investment options than Facebook.

Lastly, it is difficult to get in on the initial stock offering. I read on an investment website that very few people are able to buy the lower priced common stock. You usually have to be a big investor in the company. Therefore a person like me would probably not even be able to buy Facebook stock when it is first available.




Reply
Maccray Rentel!
5/6/2012 11:22:05 am

It is important that we are concerned with other country’s economic growth because if their economy goes down, our country is likely to follow as well. There are many reasons for this, but one of the main ones is that you can no longer import from that country. This may not seem too dramatic but if your main oil resource falls, it may be hard to find another country that has enough of what you need. Another reason is that if a country’s economy is doing really well and has tons of money, we should be aware and prepared to try to become better and more powerful then them. For instance look at Greece, their economy is very bad right now but we are trying to help them so that we can continue to import a lot from there.
Investing your money carefully is very important in infinite ways, the main reason is so that you don’t get caught up spending your money on things you don’t need. One of the biggest mistakes you can make regarding money is getting caught in a place where you only think, want, want, want, instead of need, need, need. Most people are not poor when they enter this problem, but when they exit they don’t have enough money to support themselves and their loved ones.

I personally would not buy stock in Facebook once it goes public, but if were richer I would. This is because Facebook has been around for so long and I feel that another company will make a better version of Facebook and it will be way more popular. On the other hand if I were rich, then I would definitely take a chance and buy some stock from Facebook because I could afford to possibly lose money. Another angle could be, if Facebook has been around for a while, that is a good thing people won’t be willing to switch to a new user, they will just want to keep it the same. I think that in the end I would not buy stock from Facebook, but a small company with big plans.

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Ethan
5/6/2012 11:30:53 am

It is extremely important to invest and be concerned about other countries’ growth because if you don’t and their economy goes bad, they will pull you down into economic depression with them. And if their economy goes up, your country will benefit with increased trade and higher incomes.
It is important to prepare for your economic future because it is important to have funding for your children, for college funds, for disasters and for old age. A good example is if your kid is going to college. For a good college, you will need $50,000 per year! And, since you will be going there for 4-6 years, it will obviously add up fast. Another reason why it’s important is getting a house, a car and being able to pay your property taxes. An especially important thing to prepare for is your retirement, because in your old age, you’ll have no income, only expense.
To be valuable is to have a large amount of net worth and to have a name which will be largely recognizable. A good example of a valuable person is Bill Gates – he has a net worth of over $50 billion.
I would not buy shares from Facebook since as my Dad showed everyone, there have been many bubbles over time which nobody has ever been able to tell are bubbles. A good example are the tulip bubble, in which the price of tulips skyrocketed to over ten years of the average worker’s wage. Another good example is that of Pets.com which sold pet supplies more cheaply than the amount of money they spent paying for it, yet it became a billion dollar business. It declared bankruptcy soon after its creation. Another reason why I would not buy Facebook stock is due to the fame of the company, stocks are grossly overpriced. In fact, people are arguing over the rights to buy stock in Facebook. My final reason is that a certain C.P.A. has recommended not buying Facebook stock and is of the belief that it is a bubble and so far this CPA has never been wrong about such matters.

Reply
alexa
5/6/2012 11:41:11 am

Part A:

Why should we be concerned about economic growth in other countries?

If the economy is bad in other countries it will eventually affect our countries. For example: If my grandparents wanted to get a flight from Italy to New York, but there economy was bad they wouldn’t be able to afford the ticket neither would other people in their country because the economy was bad. That would affect us because airlines and airports aren’t getting the money they need from countries then that will eventually affect our economy. Also tourism could go downhill because we wouldn’t have tourist roaming around our country and buying things and going to restaurants, stores, Broadway shows etc.

Why is it important for you to prepare for your economic future?
It is important for us to prepare for our economic future because, for your financial future, so you will have money when you get older. It’s also important to make investments such as stocks, bonds and saving your money for when you need it. You want to put money In the savings account for two reasons: 1 reason is to save money because your bank pays you interest so your money grows in value. The 2nd reason is in case you need money when you’re not making money, example losing your job. Another example would be stocks, which would pay you more than the bank would pay you in interest; but there’s also a chance you can lose money.

Part B:
As you heard today, two weeks from now Facebook will become "public", and anyone will be able to buy shares in Facebook. Would you buy shares in Facebook? Give your answer and support it with three facts you learned today.
Yes I would buy shares in Facebook so I would invest money because I think a lot of people like Facebook and a lot of people use Facebook. So a lot of people would buy shares and so I would make more money. One thing is it’s a really popular website that a lot of people use around the world. Another thing is being that it’s so popular, if I would invest in it I would make money. The last reason would be if more people invest in it, the stock would go up, and I would keep getting money.

Reply
Katie
5/6/2012 11:46:33 am

What should be the most important factor in economic decision making?
The most important factor is making a decision that will benefit the most people. This sometimes is hard because you have to make a decision that maybe you think is right but other people don’t think so. This requires making choices that need to hear all sides and balancing these choices.
Why should we be concerned about economic growth in other countries?
We should be concerned because we live in global economy where everything is connected. So this contributes to every country if ones not doing well because we are in this together, so if one country goes down we all go down but in different ways.
Yes, I would buy shares because Facebook is a very popular social media internet site and it will be worth a lot. By buying it at the beginning I am hoping that I can make a lot of money by investing in a company that goes public in two weeks. My dentist, Dr. Zuckerberg, whose son is the creator of FaceBook, is a great dentist so I think Face book is going to be a great company. Believe it or not my mom knew the person that created Facebook when he was really little, and now his dad is my dentist and my teeth are never yellow after I come out of his office.

Reply
Ellie
5/6/2012 11:59:12 am

To be valuable, something has to be rare. If something is incredibly common, many people will already have it, which means that not as many want to buy it. If nobody buys something, the demand will go down and the supply will follow, causing people not to find it often, making it valuable. Merriam-Webster dictionary defines valuable as having monetary value, or worth a good priceValuable things are rare, expensive, and hard to come by.

It's important to prepare for economic future. Otherwise, we might end up losing money. When we don't plan financially, we don't think ahead to realize when something doesn't make sense. If we don't plan financially we may end up without money because we didn't account for depts and taxes.

If I could get a low price on the Facebook stock, I would invest in them. Facebook has 800 million users and is a valuable company, and anyone who invests will build a sizable sum of money from owning the stock. It would be incredibly hard to get a Facebook stock. I also think that the stock would be priced for more than it's worth, but I'd take that risk.

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Charlotte
5/6/2012 12:23:25 pm

Why is it important to invest money wisely? 
It is important to invest money wisely for many reasons.  One of the reasons is if you invest money wisely you could make a big profit off of it.  Another reason is if you do not invest wisely you could loose a lot of money.  Investing wisely is key or else you could be in serious trouble. 
 Why is it important for you to prepare for your economic future? 
It is important to prepare for your economic future because if you didn't you would have no money.  Almost all people have collage funds and that helps people prepare for their futures.  Another reason is because people use money everywhere even for the simplest things.  For example buying food, you need to know about money even to do that.

As you heard today, two weeks from now Facebook will become "public", and anyone will be able to buy shares in Facebook. Would you buy shares in Facebook? Give your answer and support it with three facts you learned today. If I was older I would buy shares in Facebook.  Facebook is a huge company and many many people have facebooks.  People get them everyday and the more people who get facebooks the more advertisement companies buy Facebook, the more money they get, and if you have a share in Facebook, the more money you will get.  Facebook would cost a lot of money to buy a stock in, but I think you would make more money in the long run.  Even though you would only have a little, little share in it, I still think it would be worth it.  

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Dante
5/6/2012 09:09:29 pm

For my first paragraph I’m going to answer the following questions, “Why is it important to invest money wisely?” and “Why is it important to prepare for your economic future?” My answer for the first question is, it is important to invest money wisely because anything can happen. One day a company can be doing amazingly then the next day it is worth barely anything because something happened in the economy or to the company. That is why it is good and important to invest money wisely. It is good to prepare for your economic future. The reason that is, is because you’ve got to be prepared for something really bad to happen even if it probably won’t happen because the economy is a very dangerous thing. That is why it is important to prepare for your economic future.

I think that I would buy shares know but then trade them quickly. The reason being is I think that Facebook is going to bubble so to speak because it is popular now but I think in a year or two it won’t be popular any more. That is why I will think it is going to bubble because it is skyrocketing now but I think when it gets less popular it will plunge and so to speak pop. I would though think it would be smart to buy know while it is skyrocketing because you could make a lot of money, but I think you should sell it in a year or a little less. That is what I think about Facebook going public.

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Taylor
5/6/2012 09:24:51 pm

What should be the most important factor in economic decision making?
Why is it important to invest money wisely?

What should be the most important factor in economic decision making? From my understanding the Federal Reserve controls the economic decisions. The current federal reserve has two goals. The first is to raise employment and the second to keep the inflation rate at 2%. When making an extremely important economic decision, I think that the Federal Reserve has to think of two things; will it affect employment and will it affect the inflation rate. This is very important. Jobs are important because they stimulate the economy which allows people to be able to spend and put money back into the economy.

Why is it important to invest money wisely? In many ways it is important to invest wisely. If you do not invest wisely, you may pick a bad stock. If you invest too much money in that bad stock, you might lose a lot of money. In order not to lose money, you must invest wisely.

Would you buy shares in Facebook?

Facebook is a very popular stock. I would invest in it cautiously. I would try to invest as close to the opening price as possible. It might turn out to be an economic bubble and the price might soar. If I invest at the beginning, I would make a lot more money as opposed to investing near the top and having the stock possibly crash. An economic bubble is a stock or many stocks have their prices go up and up and up and then they crash. An example of a bubble is the housing bubble. House prices went up and up and up and then they went all the way down resulting in many people losing the value on their homes. In conclusion, I would want to buy Facebook but I would want to watch the price all the time.

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maddie
5/9/2012 08:03:09 am

It is very important to invest money wisely. One reason for why I say this is because of fortune. For example, if you were to put money in a bank and keep it there for a really long time, then you would get a lot of money when you take it back. You would get a lot of money back because of the money the bank puts on it. So they would keep on adding more money onto it just because you kept the money in the beginning in the bank for such a long time. So all in all, it's important to invest wisely because you would get more money.

We should be very concerned for the economic growth in other countries. One reason for why I say this is because of the effect. I a country were to go bankrupt and then go into a Great Depression like we did, then they would ask for money from us. Just like the problem with Greece. So if a country was asking America to give money to them, then we would probably give them the money. I know it would mean that we would have to give up some of our economy's money, but it would be important. Because if no one were to give that country money, then other countries around it would probably start going bankrupt too. So I think we should be concerned about other countries and their economy because the problems could affect us.

I don't think I would want to buy a share with facebook. I know it's a very rich and popular website, but you never know, it could go out of business. And if I were to pay money for something that I could probably loose, than I wouldn't buy it. Why I say that it wouldn't be good to loose a share is because of your money. If you were to have a part of a very popular website that was doing well, and the price for it was going up like from 9 billion dollars to 52 billion dollars, you should have nothing to worry about. But that's not true. Just because a company is doing well, there's still a chance of an economic bubble. When there's an economic bubble, the expenses for what you are buying will get really expensive. So you could spend a lot of money for something that you don't even need. And then when the economic bubble blows up, the prices for the thing that you just paid a lot for, will get way cheaper than the amount that you paid. To me, that's really unfair. So I probably wouldn't get a share in facebook, even if it is a very popular and growing website.

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Jessica<3
5/9/2012 09:13:15 am

Why should we be concerned about economic growth in other countries? I think we should be concerned because say 1 country takes too much money or has too much money, then that means the rest of the countries don't have a lot of money. Then if we don't have a lot of money and were asking for some then that 1 country can take controll of everyone. Also if people keep asking people for money then they get bankrupt and the other country has money, and so on. If we were to split all the money then no one would have to suffer from bankrupt then a lot of money and so on.

Why is it important to invest money wisley? I think if we were to invest wisley then we wouldn't make stupid mistakes and make ourselfs bankrupt like so many people do. The worst part Is the banks don't even tell them until they actually bankrupt. My whole thing is that if we were to never make decisions with out a lot of second opinion on everything money wise. Some people wouldn't be bankrupt and live on the street. We would also feel better knowing that no one is living on the street and maybe freezes to death when it snows or rains.

I wouldn't buy any share in facebook because like any business you don't know when you might be scammed or ripped off with the price. Sometimes we actually might just buy it and boom it closes and your bankrupt. I think if you were to buy a share in Facebook because it was such a popular website people would love to buy in on Facebook but people are starting to close their Facebook account and get a new instagram or twitter those are the new thing "in" as a lot of people would say.

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Cassidy
5/9/2012 09:19:00 am

Part A:
What does it mean to be “valuable”?
To be valuable, it means that that thing is worth a lot of money. For example, if I found a really old coin, it will probably be valuable since no one else has it. Valuable also means that something is rare. For example if I have something that no one else has, that thing is valuable, but if a lot of other people have it, then it wont be valuable. I looked in the Merriam Webster dictionary, and the real meaning of valuable is having monetary value, or worth a good price.

Why is it important to invest money wisely?
It is important to invest money wisely. It is important because if you invest in a company, one day the company can be doing really well, then the next day it won't be doing well because something happened in the economy or to the company. Also, if you invest wisely, you could get a lot money, but if you don't invest wisely, you could lose a lot of money.

Part B:
Would you buy shares in Facebook?
I would buy shares in Facebook. Facebook is a really big company and many people have facebooks. A lot of people get one everyday. When more and more people get a facebook, more advertisement companies buy Facebook. If you have a share in facebook, when they get money, you will get money. Facebook would cost a lot of money to buy a stock in, but in the end I think that it would be worth it and you would make a lot of money.

Reply
Max
5/9/2012 10:49:09 am

It is important to invest your money wisely because if not, than it is wasted money. When you invest money it is a game. If you invest blindly than you could get scammed or you could realize that you made the wrong choice and wasted your money. If you invest wisely than the money won’t go to waste. Investing wisely also brings in revenue.

We should be concerned about the economic growth of other countries because it allows us to determine if another county is failing economically and needs a bailout. It also helps determine what country to get a bailout from. It helps when we are in a crisis. It also can allow us to know if countries are getting back up or still failing.
I would not by shares from Facebook. My first reason is that they are overpriced. The second is that It is an uneasy stock that is able to shoot up or down at any minute. My third reason is that Facebook’s shares will drop quickly and will become cheap and worthless in a matter of years. My final reason is that Facebook is risky and though a lot of money is involved I could easily lose a lot if I invest.

Reply
Ivan F
5/9/2012 11:41:31 am


Its important to invest money wisely because you could easily lose your money. For example, if a borrower came to borrow ten thousand dollars. You would ask to see the person's business plan. If you think he has good ideas its probably a good idea to give him the money. You could give him a percent to pay back with the actual money if you want. OK now the borrower started his business. He starts to pay you back. Then suddenly his cafe starts doing bad and he can't pay you back. This is one way you can lose your money.
Imagine you invest $2334 to a manager of Walmart. His store is doing very well, he pays the percent every month. By the time limit he has to pay you back you have the money he owes you plus the percent. BUT if he doesn’t pay you back at all, you have the right to sue him for more than the money he owes you plus percentage.
We should be concerned about the economic growth in other countries because if a country is losing money (Greece), other countries using the same currency also have to suffer because they can't get payed back the money they invested to other countries. Example: If Greece loses all of its money(which it technically did) other countries that gave Greece the money can't get it back to pay their dept. Then probably it can't also pay other countries that they might have borrowed money from.
Its worth buying face book shares now while the prices are low, but in the future the prices might get higher. It might even be too expensive. The price of a share right now is $28-$35 dollars. The company is having great success. I think next year the prices might go up. Th company is going public sometime next week.

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