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  • Explain how Resources Are Allocated in Reference to the Different Economic Systems?

     

    Essays3 Economics

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ID number:897452
 
Evaluation:
Published: 17.09.2005.
Language: English
Level: Secondary school
Literature: n/a
References: Not used
Extract

An economic system is the result of individuals (consumers and producers), groups (firms, trade unions, political parties, families etc) and the government coming together and interacting in a legal and social society. The function of an economic system is to resolve the basic economic problem - scarcity which means that the resources are limited but wants are infinite. This distribution has three dimensions:
* What is to be produced
* How is it to be produced
* For whom is it to be produced.
There are 2 economic systems which are commonly used world-wide. …

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