1. Political Systems and Economic Systems

2. Political Systems Governments can fall into 3 categories:
Unitary- Federal government holds all authority and power
Confederal- Local governments hold most power but give central government specific power
Federal- Local and Federal government share power and responsibilities

3. Political Systems Countries can have a variety of political systems.
Three Main Types of Governments
Autocracy
Oligarchy
Democracy

4. Types of Government

5. Jordan’s King Abdullah
Autocracy
Ruler inherits the throne by birth or military power
Citizens do not have a right to decide laws.
Examples: Monarchy, Dictatorship, Fascism
Countries:
Jordan- Monarchy
Nazi Germany- Fascism
N. Korea- Communist Dictator
Jordan’s King Abdullah

6. How do dictators keep power?
Dictators can use their armies to arrest or attack protesters.
Dictators often promise a better life, especially for the poor.
Many countries have never had democracy, so they are used to having dictators.
Some dictators get support from other countries, such as Soviet Union’s support for Fidel Castro in Cuba
Miguel Diaz-Canel

7. Oligarchy Small group of people hold/share power
Gain power through wealth, military power, social status
Citizens have little-to-no say in government
Examples: Communism, Military Junta
Countries:
Thailand- Military Junta
China- Communist Party

8. Theocracy Religion is the source of power (usually oligarchy)
Ruler usually believed to be divinely inspired
Citizens do not have a right to decide laws.
Countries:
Vatican City- Ruled by the Catholic Church and Pope
Iran- Islamic Republic of Iran

9. Democracy Leaders rule with consent of the people
Citizens have a say in the laws and politics
Can be Direct or Representative
Direct- Everyone votes on every issue
Representative- Vote for representatives to make decisions
Countries:
United States
England.

10. Politics and Government
What is politics?
What are four ways people can participate in government?

11. Geography and Government
Types of boundaries:
Natural Boundary- follows physical geographic forms
Cultural Boundary- Separate areas with cultural differences (ie. language, religion)
Geometric Boundary- Lines drawn with little-to-no consideration to geography or culture
How can boundaries be reasons for conflict?

12. QUICK REVIEW!

13. Economics

14. Why you should learn economics?

15. What is economics?
The study of how goods and services are produced, distributed, and consumed.
The people who make goods or services are called “producers.”
The people who buy goods or services are called “consumers.”

16. 3 Different Economic Systems
1. Traditional
2. Market/Free
Enterprise/Capitalism
3. Command

17. Traditional Economy
Habit and custom determine the rules for all economic activity
People find food for themselves and trade for needed goods.
No companies or governments involved
This system is found among herders or small farmers

18. Market Economy
People own companies and decide what to produce to make consumers happy.
Sometimes called “capitalism” or “free-enterprise system”
Capitalism= private ownership of business and property functioning to make a profit
Free Market= Prices are set by businesses, supply and demand, competition, etc. without government interference
Most are MIXED ECONOMIES- Government has some say but businesses are privately owned
There really is no “pure market economy” in the world…most economic systems are a mixture of two of the different types of systems…this is called a mixed economy. Therefore, the USA has a mixed economy with characteristics of a market economy and a little bit of command system.

19. Command Economy
Government owns or directs means of production (land, labor, capital, managers)
makes economic decisions about what should be produced, how the goods should be produced, and for whom.
Examples: socialism and communism
Workers arrive at a factory in the old Soviet Union in 1929.

20. Venezuela’s President Hugo Chavez
Command Economies
In socialism, the government runs some industries, such as oil, and uses profits to pay for health care, education. Ex. Venezuela
In communism, the government runs all industries, owns all property, sets wages, and prices, and people must do as they are told. Ex. North Korea
Venezuela’s President Hugo Chavez

21. Putting Politics & Economics Together
Command Economies usually require autocratic rule
Communist countries have been dictatorships in which leaders have tried to control all aspects of the country.
Not all dictators are Communists. Some want capitalist companies to come in and create jobs Ex. Batista in Cuba before Castro.
Democracies are sometimes capitalist and sometimes socialist.
Voters decide by electing leaders and/or writing constitutions that fit the needs and views of the country

22. Written Response
In paragraph form, explain which political system and which economic system is the best. Why? What would a country need in order to have those systems (ie…education, resources, leadership, etc.)