KEY KEY Level of Economic Freedom Examples China

KEY

KEY Level of Economic Freedom Examples ØChina ØNorth Korea ØSoviet Union ØCuba Examples ØSweden ØNorway ØDenmark ØFrance Property Examples ØUnited States ØAustralia ØSingapore ØHong Kong Rights • Level of US Economic System ownership of property Economic ØCan be called: Role of Freedom • Do people have Government • Amount of rules, regulations & infrastructure Basic Characteristics of an Economic System the ability make to basic economic choices Now that you have examined multiple countries, where do you think the US should be on the spectrum above? Why? (PRICE) Competition Incentives • rivalry among • offered to producers or sellers of similar goods & services ØCapitalism ØFree Enterprise ØFree Market stimulate profits for businesses & employees This is opinion based but after reading the various country profiles, they will probably see that the United Sates will be closer to socialism. The economic freedom rating is less than the other countries in the Free Market. • Most Countries have some form of a Mixed Economy • Mixed = a combination of the different systems • Most countries will not be at 0 or 100 on the spectrum above, they will fall somewhere in the middle.

Pieces to the Spectrum Puzzle Basic productive resources are government owned and operated; the rest are privately owned and operated. Capital for production is obtained through the lure of of profits in the market. Government makes all economic decisions. All productive resources are government owned and operated. Government directs the completion of its economic plans in key industries. Centralized planning directs all resources. Productive resources are privately owned and operated. Government may promote competition and provide public goods. Government plans ways to allocate resources in key industries.

Level of Economic Freedom • Most Countries have some form of a Mixed Economy • Mixed = a combination of the different systems • Most countries will not be at 0 or 100 on the spectrum above, they will fall somewhere in the middle. Examples ØSoviet Union Ø________________ Ø________ Examples Ø________________ Examples ØUnited States Ø________________ Ø________ US Economic System ØCan be called: ØCapitalism ØFree Enterprise ØFree Market

Now that you have examined multiple countries, where do you think the US should be on the spectrum above? Why? Property Rights • Level of ownership of property Economic R ole of Government • Amount of rules, regulations & infrastructure Freedom • Do people have Basic Characteristics of an Economic System the ability make to basic economic choices (PRICE) Competition Incentives • rivalry among • offered to producers or sellers of similar goods & services stimulate profits for businesses & employees