Unit 4 economic line of continuum

econ

1. Economic Economic
Systems and Systems and
Line of Line of
ContinuumContinuum

2. Three Types of Economic Three Types of Economic
Systems:Systems:
1. Traditional Economy1. Traditional Economy
2. Command Economy2. Command Economy
3. Market Economy3. Market Economy
* Most countries are… * Most countries are… Mixed EconomiesMixed Economies! !
(Market + Command)(Market + Command)

3. Continuum of EconomiesContinuum of Economies
Most
Individual
freedom
No
Individual
freedom
Pure
Market
Pure
Command
Most economies fall in between a pure
market and a pure command economy
on the continuum

4. Economy ContinuumEconomy Continuum
Command Market
Cuba
Russia Germany
US
Australia
UK

5. Which Economic System Is Best?Which Economic System Is Best?
Market system has proven to be best Market system has proven to be best
because it promotes the goals of growth, because it promotes the goals of growth,
freedom, & efficiencyfreedom, & efficiency
Citizens are free to own their own property and Citizens are free to own their own property and
use it in the most efficient and profitable wayuse it in the most efficient and profitable way
Command and Traditional systems Command and Traditional systems
sometimes offer more security, but are not sometimes offer more security, but are not
nearly as strong in efficiency, growth, nearly as strong in efficiency, growth,
freedom, and environmental qualityfreedom, and environmental quality

6. DirectionsDirections
Complete the Positives and Weaknesses of Complete the Positives and Weaknesses of
each Econ System using your resourceseach Econ System using your resources
Answer your Question Strip questions. Answer your Question Strip questions.
Complete for HW (Page 5) Complete for HW (Page 5) if you do not if you do not
finish in class. finish in class.
Finish Vocab Finish Vocab

7. DirectionsDirections
Complete the Positives and Weaknesses of Complete the Positives and Weaknesses of
each Econ System using your resourceseach Econ System using your resources
Answer your Question Strip questions. Answer your Question Strip questions.
Complete for HW (Page 5) Complete for HW (Page 5) if you do not if you do not
finish in class. finish in class.
Finish Vocab Finish Vocab