Economic Systems Flashcards
Scarcity
The limited supply of something
What are 3 basic economic questions
- What goods/ services will be produced
- How will goods/services be produced
- who will consume them
traditional economy
customs, traditions, and beliefs
Barreing
trading without using money
Command economy
All economic decisions are made by the government
Market economy
Economics decisions are based on changes in the prices that occur as buyers and sellers interact in the market place
Free enterprise
competition between companies (shifts prices of goods/services)
Mixed economy
System that has capitalism and socialism.
The economic continuum
Based on government control.
Nation-State
A country that is the same ethic group
Communism
Everyone is the same and all wealth and property are communally owned.
Capitalism
Industries are owned by private in divisuals no government inference
Human Resources
You as a person and their Skills
Supply and Demand
The amount of product available and peoples willingness to buy the products.
