Economic Systems
Based on long-established customs of who does what work
What is a traditional economy?
Economy in which the government owns all the factors of production
What is communist?
People's work is based on long-established customs
What is traditional economy?
Businesses that focus on growing crops and raising livestock
What are agricultural industries
value of all goods and services produced within a country in a single year
Gross Domestic Product (GDP)
An economy controlled by the government
what is a command economy?
Individuals and business own factors of production
what is capitalist?
Economic system in which few limits are placed on business activities
What us free enterprise system?
Businesses that sell directly to consumers
What are retail industries?
Based on private ownership, free trade, and competition
What is a market economy?
Government owns some of the basic factors of production
what is socialist?
Goods and services provided by the government for public consumption
What are public goods?
Businesses that provide services rather than goods
WHat are service industries?
Businesses that sell to other businesses
WHat are wholesale industries?
Countries with strong economies and high quality of life
What are developed countries?