Modern Mixed Economy

Modern Mixed Economy September-17-08 8:55 AM

Modern Mixed Economy MARKET

USA

Sweden

Canada

Korea

COMMAND

Traditional Mixed Economies Mongolia

India

Myanmar

TRADITIONAL

Modern Mixed Economy: is one that combines both the use of markets and significant government presence in economic decision-making. - Includes a private sector. Economic activity dominated by markets. Traditional Mixed Economies: Where, market driven industries, such as mining, co-exist with a traditional sector. Public + traditional sector.

Canada: A Mixed Market Economy September-17-08 9:02 AM

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The Canadian economy contains elements of traditional and command economies. The Canadian economy is classified as a mixed economy Our country's economy includes both private enterprise and state-owned enterprise. The Canadian system tries to integrate the best features of all 3 economic types, E.g. Land ownershipCanada allows for state-owned or CROWN LAND - features of command economy. It also permits private ownership if land - feature of market economy

Conflicting Goals September-17-08 9:21 AM

Strategies to keep prices stable often have an adverse effect on employment rates + national production. Governments can promote price stability by raising interest rates in order to control the amount of money in circulation as it becomes more expensive to borrow money for investment: Businesses hire fewer workers + production levels either remain constant or begin to decline. Increases in employment +production as the opportunity cost of stable prices.

Tangible Resources1. Land a. Natural resources Unit 1 Page 1

a. Natural resources b. Water c. soils 2. Labour a. Skilled workers 3. Capital a. Facilities b. Equipment c. Machines d. money Intangible Resources1. Knowledge a. Science b. Technology c. experience 2. Entrepreneurship a. Management b. Direction c. Risk taking 3. Environment a. Work ethic b. Politic stability c. Economic stability

Unit 1 Page 2