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Economic Systems
Economic Systems are various methods by which countries have structured their economies. The earliest economic systems were based on simple bartering, whereas modern economics has nuances between laissez-faire and free market on one edge of the spectrum and communism or centrally-planned economies on the other.
787 Questions
Human wants are satisfied by A Consumers B Available Resources C Economic Systems D God?
- Not (A) 'Consumers', because consumers are the humans who have needs and wants.
- (B) Available resources are used to meet human needs.
- (C) Economic systems are used to provide and distribute available resources.
- Not (D) God, because, if he exists there is no evidence that he has ever provided for human wants, other than through available resources and our own economic systems.
So the answer is thathuman wants are satified by available resources, assisted by the economic system. Those who choose to do so can see God play an unseen and unprovable role in the distribution of available resources.
What is an economic system controlled by government?
Communist systems are typically ones in which the government has almost total control over the economy. Socialistic systems exert some governmental control. Pretty much every economy in the world is somewhat socialistic, however.
How many different economic systems exist?
Communism - land, means of production and property are owned by the people as a group, but the government makes all the economic decisions. The government decides which goods are available at a given time.
Socialism - all land, property, and means of production is controlled by the government. All economic decisions are made by the government. The government decides what gods are produced.
Capitalism (market economy) - entrepreneurs risk capital in a business. Economic decisions of what to produce is controlled by supply and demand. Price is controlled by demand for the most part. Private ownership is an important part of capitalism. Government decisions affect the economy in a capitalistic society.
Barter- People trade for what they need.
How is a feudal system an economic system?
The feudal system was really a system of political-military allegiances whereby aristocrats gave landed estates to lesser aristocrats and knights in exchange for loyalty and military services. The economic dimension of the system is that the aristocrats were landlords who appropriated the produce of the peasants and ensured their labour services through serfdom. Through serfdom, the peasants were tied to the lord and were not allowed to leave their villages. They also had to pay a rent. Sharecropping (paying with a share of the harvest) was common, but cash payments also developed. Labour services were obtained through the requirement to work on the estate of the lord for set amounts of time. Tributes also had to be given. These consisted of giving the lord a certain number of animals, dairy products, and the like. Transgression of these rules involved severe punishment.
Which is the worst economic system?
Total and complete central planning. Some degree of market activity is necessary for an economy to even function. Experiments with pure central planning - such as the Puritans in 1620 and the Russians around 1920 - always end in economic reforms after near collapse.
What determines what type of economic system a country has?
Decisions about the kind of economic system a country has are normally made by that country's government.
What is the strongest criticism of Sweden's economic system?
They have cradle-to-grave security. Everyone is entitled to medicare, education, retirement benefits and other essential needs. All you have to do is be born. Thus High Taxes.
Answer: high taxes
From Economics 10e Stephen Slavin
Basically the economic system in Sweden is really complicated. As you can see, Sweden is one of the few countries that has a percentage increase in GDP 4.1% (increase in Economic Growth). Sweden and the other Scandinavian countries have survived from this economic crisis for 2 reasons
1) Fiscal Policy, which involves increase in Government Spending and decrease in taxation. That's why the swedish government bought some of the banks, allowing the government to manipulate the interest rates. Even though Fiscal Policy is expensive, they took the risk rather than Monetary Policy which is much cheaper
2) They are out of the Euro currency.
Sweden uses ideas from Planned and Free Market that's why is so successful
Read more: What_economic_system_in_Sweden
Describe the allocation of resources in market and mixed economic systems?
In a free market where the demand and supply of resources as return to factors are determined by market forces to determine the resource allocation usually owned by private Enterprise through price mechanism, although government control to some extent also determines the allocation of resources for auxiliary or subordinate production of goods and services in a mixed economic system by planning in the production possibilities by the scarce resource allocation .
What are the 3 basic economic system models?
The 3 basic economic system models are mixed economy, command economy, and free-market economy. In a mixed economy recourse are owned publicly and privately while in a command economy resources are owned by the government.
What are the 3 fundamental questions that all economic systems must answer?
- What to produce?
- How to produce?
- For whom to produce?
These are the three fundamental questions that all Economic systems must answer.
In what ways are the three economic systems alike what are the major differences?
The three economic systems are the command economy, the free-market economy, and the mixed economy; they are all the same because they refer to the production and circulation of goods and services. In the command economy all resources are owned by the government, in the free market economy all resources are owned privately, in the mixed economy resources are owned by both.
Which economic systems allow government to control most aspects of the economy?
Generally speaking nations where much of the means of production are either owned or controlled by the central government control most of that country's economics. What also needs to be addressed is that dictatorships, either fascist or some other type also control the major aspects of a country's economy by virtue of their unlimited power to force their economies to produce certain goods or / and direct the paths of major industries.
The best example of this is Nazi Germany. Hitler's government did not "own" German industry but he could dictate what products they "should" produce.
It is said but it cannot be held as "doctrine" that Russia's major economic policies are governed by Mr. Putin.
Of course all nations calling themselves "communist" nations always play a huge role in their nations economics.
How do countries know if their economic systems are working?
If a countries economy, growth, and employment are strong they have a good indication that their economic systems are working.
What are the economic systems of the UK Germany and Russia?
they are all market with elements of command
What is the economic system and economic activity?
These are how an economy is doing in a particular area. This will vary depending on the time in history, the country, and how much the government intervenes.
Why do economic systems develop?
Economic systems are the direct result of individuals not being entirely self-sufficient and, therefore, seek to acquire goods or services gathered or produced by others in peaceful exchange. As the exchanges became more frequent, cultural norms were established to regulate such exchanges and adjudicate any exchanges that were not completed properly. These cultural norms are what we call economic systems. The economic systems change and grow due to the creation of new financial technologies (money, banking, capital, etc.) and new philosophical doctrines on wealth acquisition (mercantilism, state-run economics, capitalism, ecclesiastical economies, etc.)
Is the US's economic system true capitalism?
No the US has a mixed economy with both socialism and capitalism traits. We have a free market like in capitalism however we also have social security and medicare as well as now universal health care which are all socialism traits. Not all capitalism is good and all socialism isnt all that great either. You want a good mix of both.
