The Best

Good Essays
The Business System: Government, Markets and International Trade
Chapter 3

Reporters:
Masaga, April B.
Sebastian, Jo Ann D.
Reyes Marvin Sergio L.

Globalization
The process by which the economic and social systems of nations are connected together so that goods, services, capital and knowledge move freely between nations.
Economic System
The system a society uses to provide goods and services it needs to survive and flourish.
Economic Systems
The economic system accomplishes two basic economic task:
The task of producing goods and services, which requires determining what will be produced, how it will be produced and who will produce it.
The task of distributing these goods and services among its members which requires determining who will get what and how much each will get.
To accomplish these two tasks, economic system rely on three kinds of social devices:
Tradition-based societies
Command economy
Market economy
Economic Systems
Tradition-Based Societies
Small and rely on traditional communal roles and customs to carry out the two basic economic tasks.
Individuals are motivated by the community’s expression of approval or disapproval and the community’s productive resources - such as its herds are owned in common
E.g. Bushman, the Inuit, Kalahari hunters and Bedouin tribes.

Economic Systems
Command Economy
Based primarily on a government authority (a person or a group) making the economic decisions about what is to be produced, who will produce it and who will get it.
Productive resources such as land and factories are owned or controlled by government and are considered belong to the public.
E.g. China, Vietnam, North Korea, Cuba, former Soviet Union run their economies primarily on the basis of commands.
Economic Systems
Market Economy
An economic system based primarily on private individuals making the main decisions about what they will produce and who will get it.
Productive resources like land and factories are

You May Also Find These Documents Helpful

  • Satisfactory Essays

    A economic system that is regulated by the interactions between producers and consumers in the market.…

    • 401 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    -An economy that relies chiefly on market forces to allocate goods and resources and to determine prices…

    • 532 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Any form of various economic and political theories advocating collective or governmental ownership and administration of the means of production and distribution of goods.…

    • 1439 Words
    • 5 Pages
    Good Essays
  • Satisfactory Essays

    TypesofCapitalism

    • 309 Words
    • 1 Page

    United States: free enterprise/free market capitalism: economic/political system characterized by a free market for goods, private control of production, market competition, belief that market is “self-regulating” (Smith, 2002).…

    • 309 Words
    • 1 Page
    Satisfactory Essays
  • Satisfactory Essays

    Nsl Study Guide

    • 1431 Words
    • 6 Pages

    In a ________________economic system the government makes all of the decisions and controls many of the businesses.…

    • 1431 Words
    • 6 Pages
    Satisfactory Essays
  • Better Essays

    AP Vocab

    • 1055 Words
    • 5 Pages

    Method that a group of people uses to choose what goods and services to produce, how to produce them, how much to produce, and how to distribute them to people. See pure free-market economic system.…

    • 1055 Words
    • 5 Pages
    Better Essays
  • Powerful Essays

    The creation of goods and the provision of services by businesses. The transformation of inputs into outputs or products to be sold. This involves:…

    • 6112 Words
    • 25 Pages
    Powerful Essays
  • Better Essays

    Speaking Muet

    • 4832 Words
    • 20 Pages

    All the resources are owned and operated by the state or the government in the interest of society as a whole. This is to ensure equal opportunity of all citizens regardless of their income. Public ownership also aims to fully utilize the country’s resources.…

    • 4832 Words
    • 20 Pages
    Better Essays
  • Satisfactory Essays

    Best

    • 260 Words
    • 2 Pages

    the disadvantages of electronic media is that .it is harming us and destroying all insects. by micro waves which are beaming down from the sat lites .…

    • 260 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Best

    • 10365 Words
    • 42 Pages

    J1A Chung Hua High School, Seremban, N. Sembilan Mo Tu ASSEMBLY MATH We Th Fr Sa J.UEC BIO/CHEM BI J.UEC BIO/CHEM 0 07:10 - 07:55 1 07:40 - 08:20 2 BC 3 BM 勳 08:20 - 09:00 09:00 - 09:40 强 UEC HISTORY MORAL 莲 LINDA BI NORINA UEC GEOGRAPHY JOHN 娇 莲 JOHN BC 勳 BC 勳 BC 恬 勳 UEC GEOGRAPHY 娇 BREAK 09:40 - 10:00 4 10:00 - 10:40 CAM SCIENCE 5 吉 10:40 - 11:20 SCIENCE 茸 / JOHN 吉 GEOGRAFI MATH LAILY BC 勳 UEC HISTORY 强 BM COMPUTER 韵 NORINA 恬 JUNIOR BREAK 11:20 - 11:45 6 11:20 - 12:00 6 UEC HISTORY 11:45 - 12:25 恬 BM CONSELLING NORINA 文 GEOGRAFI MATH LAILY 强 BM NORINA SENIOR BREAK 12:00 - 12:25 7 12:25 - 13:05 BI ART 8 维 13:05 - 13:45 MATH JOHN BC 勳 BM NORINA KHT M SHAH / 彬 / ROHAYA /…

    • 10365 Words
    • 42 Pages
    Satisfactory Essays
  • Good Essays

    An economic system that is regulated by the interactions between producers and consumers in the market…

    • 451 Words
    • 2 Pages
    Good Essays
  • Good Essays

    |Definition: *An economic system based on the private ownership of |Definition: *A social, political and economic ideology that tends |…

    • 946 Words
    • 4 Pages
    Good Essays
  • Good Essays

    a philosophy of economic systems that favors private ownership of the means of production, creation of goods or services for profit or income by individuals or corporations, competitive 1 markets, voluntary exchange, wage labor, capital accumulation, and finance .…

    • 905 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    Marxism Vs Fascism

    • 414 Words
    • 2 Pages

    Any of various theories or systems of social organization in which the means of producing and distributing goods is owned collectively or by a centralized government that often plans and controls the economy.…

    • 414 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Discussion Question 1

    • 328 Words
    • 2 Pages

    There are three basic questions of economy and they are as follows: what to produce, how to produce it and who to produce it for. In a market economy, the organization is geared around producing or making the product and deciding what and how. Then the customer decides for whom when they actually purchase the product. This philosophy differs from a command economy because it’s the government – or a central command – that makes all of these decisions.…

    • 328 Words
    • 2 Pages
    Satisfactory Essays