ECONOMIC SYSTEMS KEVIN/MIKE

COMMAND ECONOMY

NORTH KOREA IS A EXAMPLE OF A COMMAND ECONOMY

• Advantages
• They prevent the abuse of monoply power
• They can prevent mass unemployment
• They produce goods with which benefits society

COMMAND ECONOMY

• Disadvantages
• Unable to respond to consumer prefrences
• Threat to democracy and liberty
• Poor information about what to produce

TRADITONAL ECONOMY

• Traditional economy relies on habit, custom, or ritual for the key economic questions
• Haiti is an example of a traditional economy

ADVANTAGES OF TRADITIONAL ECONOMIES

• It will always sustain an enviroment friendly surrounding
• It provides everyone with a role
• It provides the goods and essentials needed for everyday life

DISADVANTAGES OF A TRADITIONAL ECONOMY

• A natrual disaster can wipe out the economy such as the earthquake that struck haiti
• It can change by the aspect of their ancestors
• It Can only Provide the goods and services needed

MIXED MARKET ECONOMY

USA IS A MIXED MARKET ECONOMY

ADVANTAGES OF A MIXED MARKET ECONOMY

• Can create equality and a safety net
• Can reduce the amount of government regulations
• Most buisness and industrys can be left at private firms

DISADVANTAGES

• Difficult to know how much government should intervene
• Are critisised by socialists
• For allowing to much market forces leading to inequality

MARKET ECONOMYS

CANADA IS A MARKET ECONOMY

• Advantages
• Competition leads to increased efficiency between diffrent firms
• More innovations as firms look for more products to sell
• More people work harder

DISADVANTAGES

• Overproduction of goods
• Growing unemployment
• Social and economic inequality