Yr 10 Commerce Economic Systems

Price plays an important role in this type of economy

Efficiency and innovation are maximised in this economic system

In this economy, those who do not have a job do not receive an income

In this type of economic system, the government allocate resources based on a central plan

North Korea has this type of economic system

In this type of economy, there is less income inequality

Most nations have this type of economic system

The questions all economic systems must answer are

There can be an overproduction of socially undesirable goods in this economic system

In this economic system like fashion clothing or the latest technology are often unavailable.

In this type of economy there is limited choice of what to buy

There can be large booms and busts in this economic system

The government intervenes only if they need to allocate resources to socially desirable goods and services

The Australian economy is an example of

In this economic systems, decisions are made according to the laws of demand and supply

In this type of economy, there can be great poverty in the midst of great wealth

In this economic system there is private ownership of resources/businesses

This economy is also called a planned or socialist economy

Consumer choice and freedom is maximised in this economic system

As a consumer in this economy, you get access to a wide variety of goods and services at the lowest price