{"id":5934,"date":"2016-08-04T20:17:15","date_gmt":"2016-08-04T20:17:15","guid":{"rendered":"https:\/\/courses.lumenlearning.com\/masterybusiness2xngcxmasterspring2016\/?post_type=chapter&p=5934"},"modified":"2024-05-02T19:32:57","modified_gmt":"2024-05-02T19:32:57","slug":"introduction-to-economic-systems","status":"publish","type":"chapter","link":"https:\/\/courses.lumenlearning.com\/wm-introductiontobusiness\/chapter\/introduction-to-economic-systems\/","title":{"raw":"Introduction to Economic Systems","rendered":"Introduction to Economic Systems"},"content":{"raw":"

What you'll learn to do: describe and differentiate between major different economic systems<\/h2>\r\n

In a society, the economic system answers three fundamental questions:<\/p>\r\n\r\n

    \r\n \t
  1. What do we produce?<\/li>\r\n \t
  2. How do we produce it?<\/li>\r\n \t
  3. For whom do we produce it?<\/li>\r\n<\/ol>\r\n

    Practically speaking, this translates as: who owns the factors of production, and who decides what and how much to produce, and associated pricing. This module introduces the three major economic systems: command, market, and mixed.<\/p>\r\n

    We'll also discuss the characteristics and management implications of each system, such as the role of government or a ruler\/ruling party. This section also highlights factors that interfere with the conceptually ideal free market system. Although a free and competitive market is the economic ideal in terms of efficiency, it may not be the ideal in terms of representing a society\u2019s values.<\/p>","rendered":"

    What you’ll learn to do: describe and differentiate between major different economic systems<\/h2>\n

    In a society, the economic system answers three fundamental questions:<\/p>\n

      \n
    1. What do we produce?<\/li>\n
    2. How do we produce it?<\/li>\n
    3. For whom do we produce it?<\/li>\n<\/ol>\n

      Practically speaking, this translates as: who owns the factors of production, and who decides what and how much to produce, and associated pricing. This module introduces the three major economic systems: command, market, and mixed.<\/p>\n

      We’ll also discuss the characteristics and management implications of each system, such as the role of government or a ruler\/ruling party. This section also highlights factors that interfere with the conceptually ideal free market system. Although a free and competitive market is the economic ideal in terms of efficiency, it may not be the ideal in terms of representing a society\u2019s values.<\/p>\n\n\t\t\t

      \n\t\t\t

      Candela Citations<\/h3>\n\t\t\t\t\t
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      \n\t\t\t\t\t\t\t
      CC licensed content, Original<\/div>