comparative systems Flashcards
A ______ economy is one in which the government regulates and promotes business
mixed
A stable _______ = a stable ________ = a stable __________
economy,society,government.
________ is the concept that gov spending, along with consumer & business spending, creates the overall demand in the economy:
aggregate demand
A _______ is a program that not only helps individuals, but also ensures steady demand in the economy:
automatic stabilizer
The economist whose ideas influenced FDR was:
John M. Keynes
The big change that the economist in the previous question promoted was:
budget deficits were ok in the short run
The turning point in America’s attitude toward the role of government in the economy was:
the Great Depression
The US was pulled out of the Great Depression by:
world war 2
- profits
- government owns everything
- prices based on consumer need
- gov owns no property except utilities
- motivated by human nature
- gov owns most important industries
- government plans economy
- decisions made by individuals
- generous social programs
- Karl Marx
- high taxes
- gov promotes and regulates econ
- no competition
- cap
- com
- com
- mix
- cap
- soc
- com
- cap
- soc
- com
- soc
- mix
- com
Essay: Pick three of the critieria for evaluating economic systems and explain why you prioritized those. What makes them more important than the others. Then use those to evaluate capitalism, communism, socialism, and the mixed economy. Which of those systems best meets your critieria? Explain thoroughly. Answer in the Comparative Test Essay assignment
I think the most important criterias for evaluating are social mobility, decision making and the role of the government. I think the are important because in regards to the role of the government, that determines what the system would look like. it is the mean factor because by defining the role of the government we can guess how the other criterias would turn out. In regards to decision making, I think that this is also very important because if the power making the decision is bad then the whole society and economy would have a bad outcome. In regards to social mobility, I think this is very important because nothing should ever remain the same. People should be able to have the opportunity to move up and down the social ladder. The social ladder should not be stiff and if we know the social ladder we are most likely going to be able to tell what kind of economy it is.
Communism-:
decision making-government
role of the government:the government owns everything.
social mobility:none
Capitalism-:
decision making-individuals
role of the government:None
social mobility:Yes
Socialism-:
decision making-Made by the government and individuals
role of the government:the government own the most important and big companies
social mobility:Yes
Mixed Economy-:
decision making-Decisions are made by the individuals
role of the government:the government promotes and regulates the business
social mobility:yes
The mixed economy best meets my criteria. This is because the decision making is made by the individuals, i think this is vital because the people know what they want and need and their is no better way of helping the people thean them helping themselves. Mixed economy gives the people a lot of freedom but then again at the same time it restrains them, by letting the government regulate and promote the business. Although people are the best at deciding what they want some people are mean and selfish they could go overboard so the government is there to sanction them and make sure they keep in line and are not extreme. I also love the mixed economy because of the social mobility. It gives people the chance to move up the social ladder. People are not stuck on one level on the social ladder forever, they can go up but as much as the can go up they can also come down. In conclusion I like the mixed economy because it gives people a chance and freedom but with restraints too.
