economic systems Flashcards
scarcity
the limited supply of somthing
3 basic economic questions
what, how and who
traditional economic
all economic decisions are based on custom traditions and beliefs
the exchange of goods is done through…..
battering
command economy
all decisions are made by the government.
market economy
economic decisions are based on the sellers and the buyers
free enterprise
competition between companions
nation state
country
communism
no private ownership everyone equally owns everything and work together.
capitalism
private ownership of everything runs off the idea of free competition.
human resource
workers and their skills
supply & demand
amount of a product & people’s willingness to buy it
mixed economic
most democratic countries have some characteristics of both systems so we keep it simple and call them
the economic continuum
how economically free a country is on a scale of 1-100
