1. Free Enterprise Market Economy vs. Command Economy

2. Economy
Economy is defined as a system by which productive resources are used to provide goods and services that satisfy peoples’ wants. All societies have this culture trait, but not all economies are the same.

3. Free Enterprise Market Economy
In a Free Enterprise Market Economy, citizens control the production and distribution of the goods and services that are provided.

4. Characteristics of a Free Enterprise Market Economy
Entrepreneur-individual/citizen who assumes all the risks in a new business
Higher quality of goods driven by competition
Entrepreneurs can own private property
Great variety of goods allowing for consumer choice
Based on Supply and Demand-business supply goods demanded by consumers
Economic freedom
Typically practiced in countries with a limited government
Example is the United States

5. Command Economy
In a Command Economy, there is central or government regulation and control of all production, distribution and sales.

6. Characteristics of a Command Economy
Government ownership and control of industry and distribution
Government sets prices for goods produced
No consumer choice-must purchase what the government produces
Government determines wages or salaries of workers
Typical of an unlimited government with an absolute or totalitarian leader.
Examples are the former Soviet Union and North Korea

7. What type of economy do you think is more successful? Why?

8. Assignment
You will create a flip book to explain the characteristics of a Free Enterprise Market Economy and a Command Economy.
Include characteristics of each (7 for Market and 5 for Command) and explain what each characteristic means.
Create an illustration for each type of economy.
Give an example of each type of economy
Must be neat and legible
Due on Thursday,