Free Market Economy Free Market Economy vs. vs.

Command EconomyCommand Economy

Mr. Reiter Columbus Institute for Math & Science

Global History IV TIPS PowerPoint Project

Topic: Economics of the Cold War: Free Market vs. Command Economy

• Aim: How did economic competition between the U.S. and the Soviets enable the U.S. to win the Cold War?

• If you went shopping, which picture would you prefer to see?

What is the difference?

Free Market EconomyFree Market Economy

• A free market economy is an economy where the market is free to operate based on peoples wants and needs.

• In a free market, the economy is driven by a government that practices a laissez-faire, rather than controlling its economic policy.

• The forces that rule the marketplace are: Supply, Demand, and Competition.

• The U.S. has a free-market economy.

Free market Economy