Question

name:
economic understandings of europe
study guide
part i: economic systems
fill in the chart with a definition and an example of the types of economic systems:
economic
system\tdefinition\texample

1. traditional\t\t
2. command\t\t
3. market\t\t
4. mixed\t\t

1. most democratic countries have which type of economic system?
2. most communist countries have which type of economic system?
3. what are the 3 basic questions that every economic system must answer?
4. define free enterprise. which economic system is this found in?
5. what is bartering? which economic system uses bartering to trade goods?
6. which economic system is based on individual choice?
7. which european country (uk, germany, or russia) is the closest to having a pure market

economy?

1. label the economic continuum: uk, germany, & russia.

pure
command \t\ta\tb\tc

1. russia’s economy has moved away from command and more towards market sin
2. what do the economic systems of united kingdom, germany, & russia all have

Explanation:

This study guide focuses on economic systems, their definitions, examples, and related questions about different countries' economies. The subfield of Business that applies here is Economics, as it deals with economic systems, their characteristics, and how different countries (like UK, Germany, Russia) align with these systems.

For question 5: Most democratic countries have a mixed economic system. Democratic countries typically combine elements of market (individual choice, private enterprise) and some government intervention (public services, regulations), which is the definition of a mixed economy.

For question 6: Most communist countries have a command economic system. In communism, the government (or state) makes most economic decisions, controls production, distribution, and prices, which is the command economy model.

For question 7: The three basic economic questions are: What to produce? How to produce? For whom to produce? These are fundamental as every economic system must decide what goods/services are needed, the methods of production (technology, labor, resources), and who gets the output (distribution).

For question 8: Free enterprise is an economic system where private individuals or businesses own and control the means of production, with minimal government interference. It is found in market economies (and to some extent mixed economies, but primarily market as it emphasizes individual choice and private ownership).

For question 9: Bartering is the direct exchange of goods or services without using money. It is used in traditional economic systems, where people trade goods they produce (e.g., a farmer trading crops for a blacksmith's tools) as there's little to no formal currency system.

For question 10: The market economic system is based on individual choice. In a market economy, consumers and producers make decisions based on supply and demand, with individuals choosing what to buy, produce, and invest in.

For question 11: Among UK, Germany, and Russia, the UK is closest to a pure market economy. The UK has a strong private sector, less government control over most industries compared to Germany (which has more social market elements) and Russia (which has more state influence even after moving from command, still has significant state-owned enterprises).

For question 12: On the economic continuum from Pure Command (left) to Pure Market (right), Russia is closest to Pure Command (so A would be Russia), Germany is in the middle (B), and UK is closest to Pure Market (C). This is because Russia still has more state control than Germany, and UK has more market freedom than Germany.

For question 13: Russia’s economy moving from Command to Market means it's transitioning towards a mixed or more market-oriented economy. After the fall of the Soviet Union, Russia reduced state control over industries, allowed more private enterprise, and introduced market mechanisms (though still has state influence in key sectors).

For question 14: The economic systems of UK, Germany, and Russia all have elements of a mixed economy. Even the UK (closer to market) has government services and regulations, Germany has a social market (mix of market and social welfare), and Russia, while moving from command, now has a mix of state and private ownership, so all are mixed to some degree (no country has a pure market or pure command economy in reality).

Answer:

1. Mixed economic system
2. Command economic system
3. What to produce? How to produce? For whom to produce?
4. Free enterprise: Private ownership/control of production with minimal government interference; Found in Market (and Mixed) economies.
5. Bartering: Direct exchange of goods/services without money; Used in Traditional economic systems.
6. Market economic system
7. UK
8. A: Russia, B: Germany, C: UK
9. Russia’s economy is transitioning to a more market - oriented (mixed) economy.
10. All have mixed economic systems (elements of both market and command).