Chapter 6 notes continued.
After reading pages 205-215 answer the following questions:
1. Describe Canada’s economic system? Be sure to include a definition of Crown Corporations in your answer. (pages 206 and 207)
Canada’s economic system is not static in the continuum, Because it can shift left or right from the party in power. The government and people make decisions on resources.
2. Describe the economic system of the United States? (page 208)
Americans rely on the stock market and trade. Back in colonial days colonists traded goods with other nation in Europe and South America. In return they either got other goods or were paid with money thus bust the economic status in the U.S.
3. What is the most significant difference between the economic systems of Canada and the United States?
The economies of Canada and the United States are similar because they are both developed countries and are each other's largest trading partners. However, key differences in population makeup, geography, government policies and productivity all result in different economies.
4. What role do supply and demand and competition play in a market economy? (pages 210-213)
The competitive market plays the role of equalizer. In a free market economy there are checks and balances in supply and demand. Competition allows buyers the opportunity to receive the best value for their money.
5. Why do governments get involved in market economies? (pages 214, 215)
The government get involved to protect or ensure good practices. They will get involved if consumers are not fairly treated.
6. To what extent do different economic systems affect the quality of life?
Capitalism allows more freedom in the marketplace, but some can get greedy and abuse it. Socialism calls for more spending and more equality economically for a society. A mixed economy is what we in the United States utilize.
Please join StudyMode to read the full document