economics review with answers
TRANSCRIPT
Economics ReviewCapitalism/Socialism/Communism
Ownership of Property?
Communism - PUBLIC/GOV’T Capitalism - PRIVATE/INDIVIDUALSocialism - BOTH
Principle of Operation?
FREE ENTERPRISE/COMPETITON- Capitalism FAIR DISTRIBUTION OF WEALTH- Socialism CENTRAL/GOV’T CONTROL- Communism
Choice of Work?
OPEN/FREE CHOICE- Capitalism REGULATED- Socialism/Communism
Government Involvement? GOV’T OWNS BASIC INDUSTRIES/PROVIDES SOCIALSERVICES-
Socialism GOV’T OWNS ALL INDUSTRIES- Communism GOV’T INVOLVEMENT KEPT TO A MINIMUM- Capitalism
Amount of Competition?
COMPETITON IS LIMITED- Socialism COMPETTITON IS PROMOTED- Capitalism THERE IS NO COMPETTITON- Communism
Promoters of Economic System?
Karl Marx- Socialism/Communism Adam Smith- Capitalism
Capitalism Pro
Rewards individual success Individual success leads to common good
Con Competition leads to winners and losers Not all succeed
Socialism
Pro All share equally the benefits of production No winners and losers
Con No competition - efficiency goes down High taxes
Communism
Pro Full employment citizens get what they need
Con Gov’t decides rewards Few luxuries