Economy

Question 1

3 types of economy’s and explain

Answer 1

Mixed- both gov and consumer involvement

Planned- everything planned determined by gov

Market- no gov involvement/ can lead to monopolies and consumers get ripped off

Question 2

3 questions regarding scarcity

Answer 2

1. What do we need to produce?
2. How are we going to produce them?
3. Who’s going to buy it?

Question 3

3 limiting factors with scarcity

Answer 3

1. Land, renewable resources and things like oil or natural gas
2. You need a workforce to create or make things
3. You need money to buy things and is the biggest motivator

Question 4

Subsidies

Answer 4

Money given to make companies/ individuals competitive, and to help preserve Canadian culture

Question 5

Supply and Demand

Answer 5

Can affect price/ scarcity

Question 6

Government Influence/ 2 Shifts/ Welfare Programs

Answer 6

Shift Left- Liberal, more gov influence, taxes may increase

Shift Right- conservative, less gov involvement

Welfare Programs- funded through taxes

Question 7

Private Sector

Answer 7

encourage competition, which could regulate price ex. digger sports

Question 8

Public Sector

Answer 8

Focus on crown corporations which provide essential services ex. Canada Post

Question 9

Collective Vs Individual

Answer 9

collective- Canada mixed/ some believers must set aside individual interests to achieve what’s best

Individual- USA market/ others believe that what’s best for each person adds up to what best for society

Question 10

Scarcity

Answer 10

that idea that land, labour and capital limit the supply of what people want and need