political economy

Question 1

4 factors of production

Answer 1

land
labor
capital
resources

Question 2

define political economy

Answer 2

study of how political and economic systems interact

Question 3

how is the political economy considered

Answer 3

through external factors around businesses

Question 4

define political system

Answer 4

the structured way in which a government operates and makes decisions, it focuses on how resources are allocated

Question 5

types of democracies

Answer 5

1. democracy
2. totalitarian

Question 6

define democracy

Answer 6

people have the power to make decisions, either directly or by electing representatives to do so

Question 7

what does democracy include

Answer 7

freedom of expression
right to vote
freedom to believe anything
free media

Question 8

what is totalitarian

Answer 8

government is the only decision-maker

Question 9

what does totalitarianism include

Answer 9

media controlled by state
single political party
state-controlled economy

Question 10

examples of totalitarianism

Answer 10

1. communism
2. socialism
3. theocratic
4. tribal

Question 11

what is communism

Answer 11

all property is owned by the government, aiming for a society without social classes

Question 12

example of communism

Answer 12

China

Question 13

what is socialism

Answer 13

the government owns and controls the means of production and distribution of goods, aiming for the reduction of income and inequality

Question 14

what is theocratic

Answer 14

law and policies are based on religious beliefs

Question 15

example of theocratic

Answer 15

saudia

Question 16

what is tribal

Answer 16

tribal leaders hold power, which can lead to a system where they have complete control

Question 17

what is collectivism

Answer 17

needs of a society as a whole are more important than individuals

Question 18

what is individualism

Answer 18

the interest of individuals taken over the interest of the state. individuals have the freedom to pursue their economic and political goals

Question 19

what is the economic system?

Answer 19

societies or governments organize and distribute available resources, goods, and services across a country

Question 20

what does a mixed economy consist of

Answer 20

command economy
free market

Question 21

what is a command economy

Answer 21

all resources are government-owned

Question 22

what does the government decide in a command economy

Answer 22

what to produce
how much to produce
for whom
domestically and internationally

Question 23

disadvantages of command economy

Answer 23

lack of profit
low economic growth
bureaucracy: strict rules slow decision-making

Question 24

examples of command economies

Answer 24

Egypt is leaning towards a command economy
North Korea is a 100% command economy

Question 25

what is a free market?

Answer 25

private ownership of all resources, supply, and demand decide what to produce

Question 26

advantages of the free market

Answer 26

1-higher efficiency because businesses are profit-driven
2- The government oversees the functioning of the economy

Question 27

examples of free market

Answer 27

US and Gulf countries are leaning towards a free market

Question 28

define legal system

Answer 28

rules and laws enforced that regulate behaviour

Question 29

what influences the legal system

Answer 29

political system

Question 30

types of laws

Answer 30

1. common law
2. civil law
3. theocratic law

Question 31

what is common law

Answer 31

1.based on traditions, cultures, and precedents
2. it’s more flexible than other systems
3. more expensive

Question 32

the contract of common law

Answer 32

very detailed

Question 33

what is the civil law

Answer 33

based on detailed law organized into codes

Question 34

the contract of civil law

Answer 34

less specific

Question 35

what is theocratic law

Answer 35

based on religion
most common Islamic law (shari3a)

Question 36

what is the International Sale Of Goods(GISG)

Answer 36

Law on contracts made by the UN
-It applies automatically to all contracts
-helps make contracts more fair by setting a neutral set of rules for both parties and ensuring buyers and sellers have clear rights

Question 37

define property rights

Answer 37

legal rules that give people control over their property

Question 38

examples of properties

Answer 38

building
land
music
intellectual property

Question 39

what is the intellectual property

Answer 39

an idea

Question 40

how is intellectual property protected

Answer 40

1. patent
2. copyrights
3. trademarks

Question 41

what is patent

Answer 41

creators have exclusive rights for a limited time

Question 42

what is copyright

Answer 42

protects the original work of an author

Question 43

what are trademarks

Answer 43

designed to differentiate products

Question 44

what are foreign corrupt practices acts(FCPA)

Answer 44

-illegal to bribe a foreign government official
-it keeps records that would reveal a violation