Economy system

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  1. why the econoim system?
    To determine how they use their limited resources effectively
  2. Different types of economic systems
    • Traditional economy
    • Market economy (unplanned)
    • Command economy (planned)
  3. What is traditional economy?
    Economy fund in under-developed countries
  4. examples of of traditional economy:
    • Pygmies of Congo
    • Eskimos and Indian tribe
    • Australian Aborigines
  5. What is a Command Economy?
    The government determines what, how and for whom goods and services are produced.
  6. What are the two types of planned economy?
    Strong command

    Moderate command
  7. What is a Strong Command?
    government makes all decisions (communism)
  8. What is a Moderate command?
    Some form of private enterprise, but the states of the major resources (socialism)
  9. What is A Unplanned economy?
    Also known as Free Market or Capitalism.

    • Businesses and consumers decide what they will produce and purchase and how much.
    • Production is determined by price.
  10. Disadvantages and advantages
    Advantages: Creates competition which leads to higher qualities of products and more choices. 

    Disadvantages: Big rift between wealth and poor

    NOTE: A true market economy does not exist
  11. What is a Mixed economy
    • Combination of planned and unplanned economies.
    • Government takes care or needs
    • market takes care of wants e.g Australia, America, England
  12. Advantage and disadvatage
    Advantage:Balance of needs and wants are shared

    Disadvantage: Citizens have to pay taxes
  13. What is a Socialism economy?
    Everything you own is controlled and owned by the state. (needs more than wants)

    E.G Egypt, Syria, Tanzani, Sri Lanka
  14. What a communism Economy?
    Everyone has the same, goods are shared equally E.G Cuba, Vietnam, North Korea, Laos and China
  15. What is a Fascism economy
    Has complete power and led by a Dictator

    E.G Germany (35-45) Italy (22-45) Spain (36-75)
  16. What is a dictatorship?
    A government that has complete power over a country or state. Practiced by one ruler

    North Korea, Albania, Belarus, Cameroon, Chad, Zembabwe
  17. What is a capitalism economy?
    Everyone has the right to own, produce, and invest E.G Australia, America, England, China, Germany
  18. The four questions for Production
    • 1. What to produce
    • 2. Who to produce
    • 3. How to produce
    • 4. How much to produce
Card Set:
Economy system
2013-04-19 06:42:01

My economy stuff
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