Economic System Review

What is the difference between a craftsperson and a specialist?

• A craftsperson does all of the steps in production. A specialist does one step in production.

• A craftsperson does one step in production. A specialist does all of the steps in production.

• A craftsperson does mass production.

• A specialist is like an artist.

When would it be ideal to have a craftsperson vs. a specalist?

• When you are mass producing

• When you are trying to break even

• When you are making a work of art

• When you want to make something quick

Name ANY way a business could improve production

(Think back to the Henry Ford/McDonalds videos)

An economy that relies on an interdependent system of market prices to produce goods and services. Consumers and producers pursue their own self-interest.

• Command Economy

• Market Economy

• Traditional Economy

• Mixed System

A system in which most economic issues of production and distribution are handled by the central planner.

• Command Economy

• Traditional Economy

• Market Economy

• Mixed Economy

An economy in which customs and habits from the past are used to resolve issues of production and distribution.

• Mixed Economy

• Command Economy

• Market Economy

• Traditional Economy

Custom or Tradition determines your job

• Market economy

• Traditional Economy

• Command Economy

• Mixed Economy

 Government determines what is produced or supplied.

• Mixed Economy

• Command Economy

• Market Economy

• Traditional Economy

 Demand and profit determine what is produced.

• Traditional Economy

• Command Economy

• Mixed Economy

• Market Economy

Central authority determines what to produce.

• Traditional Economy

• Market Economy

• Command Economy

• Mixed Economy