Has explicit comparable control over the price and

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Unformatted text preview: nomic Systems of the World: Economic Systems of the World: Command Economy Command Comparable to monopoly: gov. has explicit Comparable control over the price and supply of good or services services Businesses are owned by the state Businesses Gov. subsidies => lack of efficiency or Gov. incentive to monitor cost incentive Little motivation to improve customer services Little or introduce innovative ideas or Economic Systems of the World: Economic Systems of the World: Mixed Economy Combination of a market and Combination command economy: some aspects of the system include private ownership and freedom and flexibility of the law of demand, other sectors are subject to gov. planning to Economic Performance Economic Performance by Major World Region: North America South America Europe (EU, Central and Eastern Europe) Asia (Japan, China, emerging markets of Asia Asia) Asia) Other developing and emerging countries Other (India, Middle East, Central Asia, Africa) (India, Economic Performance: Economic Performance: North America North America: Free market base economy in region Combined purchasing power of U.S., Canada and Mexico Combined approaches $12 trillion in purchasing power (GDP in 2008 = $17 trillion) $17 Foreign MNC’s find U.S. to be a lucrative market United States: Foreign MNC’s find U.S. a lucrative expansion market Foreign firms welcomed as investors in U.S. market U.S. firms hold market dominance in many European U.S. markets; gaining market share in Asia markets; Economic Performance: Economic Performance: North America (continued): Canada: U.S.’s largest trading partner Most of the largest foreign-owned Canadian companies Most are totally or heavily U.S.-owned are Legal and business environment in Canada is similar to Legal that in U.S. that Mexico: Strongest Latin American economy Strongest Very strong maquiladora ind...
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This note was uploaded on 09/07/2013 for the course ECON 15 taught by Professor Mai during the Fall '09 term at Acton School of Business.

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