Definitions
The framework of institutions, processes, and rules that govern a state, determining how power is distributed, and decisions are made, is called a___
political systems
What to produce? How to produce? For whom to produce for?
Some Amish communities use non-mechanized methods for farming and rely on horse-drawn equipment and communal labor.
Traditional System
What type of political system do China, North Korea, and Cuba have?
It has a single-party authoritarian political system
A person who starts a new business
Entrepreneur
Individual roles and responsibilities are defined by the customs of the elders and ancestors
Traditional Economy
In my country, the government tells you who to produce for and what to produce. Which economic system is this?
Command
The most prosperous economic system...
Market System
In Economics, what are raw materials produced by nature?
Land
The government owns the factories, sets prices, determines what to produce, and dictates the tasks to be performed.
Command economy
As a consumer in my country, what's being produced is based on what people want or what people need. Which economy is this?
Market economy
This economic system is efficient at producing goods, encourages new inventions, and offers a lot of freedom for people to start businesses.
Market
Economic systems that combine elements from each different economic system
Mixed economy
An economic system in which private citizens own and use the factors of production to generate profit
Market System
In my economy, the government has little to no say about our products and services. Which type of economic system is this?
Market Economy
The oldest economic system in the world...
Traditional
It demonstrates how money moves from businesses to households (as wages) and back to businesses (when buying toys, food, or clothes).
Circular Flow of Income
The government determines what infrastructure will be built, and passes laws putting many regulations upon private industry in this economic system.
Mixed
In my country, the government offers incentives, regulates and collects taxes, monitors healthcare, and provides services. Which economy is this?
Mixed
Also called a planned economy...
Command