Pure command economy
What is a pure command economy?
This is a communist system: the government owns the natural resources, farms, factories, machinery, offices and most businesses.
What is a pure market economy?
The actions of the buyers and sellers of goods and services direct the economic system.
What is free enterprise?
A business is free to establish a place of operation and is encouraged to make a profit and consumers are free to buy goods and services when and where they choose.
What is a symbolic Code?
A system of symbols, colors, images, and other visual cues that convey specific meanings to consumers, allowing brands to communicate their identity and values without explicitly stating them.
What is deflation?
Condition where prices of goods and services start to decrease.
How difficult is it to start your own business in a pure command economy?
It is not permitted.
What is stagflation?
Economy with minimal economic growth, inflation, and elevated unemployment.
Which country is a good example of a free enterprise system? (Options-- China, North Korea, U.S.)
U.S (China and North Korea are known as Pure Command Economy)
Promotes a commercial product, political opinion, or shapes the perception of an organization, person, or brand.
What is an economic system?
An economic system is the way government and businesses work together to provide goods and services to consumers.
In a pure command economy, who owns all the natural resources?
The government owns all of the natural resources in a pure command economy
In a pure market economy, who decides the distribution methods and prices for goods and services?
Private owners decide the distribution methods. and prices for goods and services.
What are the two features of free enterprise systems?
Profit and Competition
What are Technical Codes?
A set of technical mechanisms that marketers use to show a product in a good way IE: using specific cameras, camera angles, lighting, and music.
What is the Consumer Price Index?
Measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services
Which of the following is a suitable characteristic of a Pure Command Economy (Private ownership, Government ownership, Freedom of choice)
Government ownership
Who makes economic decisions in a pure market economy?
Producers and consumers involving a little government intervention
What are the three codes used by advertisers?
Technical
Written
Symbolic Code
What would be an example of a government owned business in a modern mixed economy?
Parks, libraries, community centres, oil companies, etc.
What are the three economic questions?
What goods and services should be produced?
How should these goods and services be produced?
For whom should the goods and services be produced?
Which of these countries has a pure command economy; North Korea, Canada, New Zealand, or India?
North Korea
What is a Jingle?
A short, catchy song or phrase used to promote a product, brand, or service
What is a red Herring?
Something that distracts attention or creates a diversion from the main issue.
Why might it be desirable for a country to have elements of both a command and a market economy?
It might be desirable for a country to have elements of both a command and a market economy as it can regulate profits, distribute income equitably, and ensure job security, employment, and economic development while allowing and encouraging private property and ownership; providing freedom.
This is a system in which a central agency owns/controls and decides what goods a country will produce. (North Korea, Cuba, and Former USSR)
A pure command economy