1 / 15

TYPES OF ECONOMIES

TYPES OF ECONOMIES. WHO AND WHY?. Who makes economic decisions ? Who owns resources? Who provides goods and services? Why?. Either ... or. Either ... or. Group the following expressions:. government interference privately-owned companies market mechanism market reliance

cody-poole
Download Presentation

TYPES OF ECONOMIES

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. TYPES OF ECONOMIES

  2. WHO AND WHY? • Who makes economic decisions? • Who owns resources? • Who provides goods and services? • Why?

  3. Either ... or ...

  4. Either ... or ...

  5. Group the following expressions: • government interference • privately-owned companies • market mechanism • market reliance • state-owned companies • central planners • laissez-faire • government-run business • central planning system • privately-run companies • government intervention • USSR

  6. government interference state-owned companies central planning government intervention USSR market mechanism market reliance privately-owned companies privately-run companies laissez-faire PLANNED E. vs. MARKET E.

  7. ... or both...

  8. Identify the advantages and disadvantages of the market economy as opposed to the command economy (RB: p.17).

  9. “The market has a keen ear for private wants, and a deaf ear for public needs.” (R. Heilbroner)

  10. MIXED ECONOMY PUBLIC SECTOR VS. PRIVATE SECTOR Who provides goods and services? Why? (What is their interest?) What do the two sectors consist of?

  11. The government, local authorities (e.g. counties, cities, municipalities) Care for socially important issues of public interest, e.g. protecting environment, consumers, education, ... Less profitable and unprofitable businesses Private owners Making a profit Profitable businesses WHO and WHY?PUBLIC SECTOR VS. PRIVATE SECTOR

  12. public services: e.g. education, defence, social welfare, public safety, utilities Government-owned industries: e.g. public corporations* such as some utilities Municipal enterprises: local government, e.g. bus company Privately-owned companies WHAT DOES IT CONSIST OF?PUBLIC SECTOR VS. PRIVATE SECTOR

  13. The division is not always so clear ... PRIVATE S.→PUBLIC S. →PRIVATE S. → ?... nationalisation denationalisation privatisation ... and there may be cases of cooperation .... PPP

  14. nationalisation vs. privatisation Are the following arguments in favour of nationalisation or privatisation? • The sale of an industry raises money for the government. • Competition makes an industry more efficient. • It is socially right. • These companies are more likely to innovate and develop desirable products than these owned by … . • The government has a better control of the economy. • Consumers are offered more choice and better quality. • An industry is more efficiently managed by that sector.

  15. in the broadest sense contractor seek though leap state enterprise issue vouchers general public auctions public stock offering contradictory goals raise money attract layoffs proponents argue What is privatization, anyway? (Read the text, find answers - RB:p.27)

More Related