Section 3: Political & Economic Systems Flashcards
Unitary System
Gives all key powers to the national or central government.
Federal System
Divides the powers of government between the national government and state or provincial governments.
Autocracy
Any system of government in which the power and authority to rule belongs to a single individual.
Oligarchy
Any system of government in which a small group holds power.
Democracy
Any system of government in which leaders rule with the consent of the citizens.
Traditional Economy
Habit & custom determine the rules for all economic activity.
Market Economy
Individuals and private groups makes decisions about what to produce.
Mixed Economy
One in which the government supports and regulates free Enterprise through decisions that affect the market-place.
Command Economy
The government owns or directs the means of production- land, labor, capital, and business managers- and controls distributions of goods.