Economic System :: essays research papers

scotch SystemA countrys economic form consists of the structure and processes that it uses to allocate its resources and conduct its commercial activities.Types of Economic Systems- Centrally planned miserliness - conflate economy - Market economyCentrally planned economySystem in which a peoples resources ar owned by the government.Origins the ideology that the welfare of the convocation is more important than individual well being. (Karl Marx). Decline In the 80s communitys began to dismantle communist central planning in opt of securities industry based economy. Failures -economic value ,Provide incentives, Achieve rapid growth, Satisfy Consumer needs.Mixed economyEconomic system in which resources are more equally divide between private and government ownership.Origins the idea that a favored system must be not only efficient and sophisticated but should also protect society.Decline mixed economies are converting to market system. (Privatization).Market EconomyThe m ajority of soils resources are privately owned. Economic decisions are determined by supply and demand.Origins the belief that individual concerns should be pose above group concerns.Features free choice, free enterprise and price flexibility.Governments utilisation enforcing antitrust laws, preserving property rights, providing a stable fiscal and monetary purlieu and preserving political stability.Development of nationsThe economic development is a measure of gauging the economic well being of one nations people as compared with that of another nations people.National development indicators- case production- purchasing powerfulness parity - human developmentNational Production realise national product value of all goods and services produced by country during a one course of study period, including income generated by both domestic and international activities.Gross domestic product value of all goods and services produced by a countrys domestic economy over one year period .GDP or GNP per capita nations GDP or GNP divided by its population.Purchasing Power parity bit Purchasing power the value of all goods and services that can be purchased with one unit of a countrys currency.Purchasing power parity is the congenator ability of devil countries currencies to buy the same basket of goods in those two countries.Human Development Human development indexThe measure of the consequence to which a peoples needs (healthy life, education, decent standard of living) are satisfied and the expiration to which this needs are addressed equally across a nations entire population.Classifying countriesDeveloped highly industrialized and efficient countries that arrive at a high quality of life.-USA,France, Italy, Canada..Newly industrialized recently increase the portion of its national production and exports from industrial operations ( uphill markets developed + newly industrialized).