In this paper, I will compare and contrast the different economic systems in the United States, North Korea and Ecuador. Those systems are market, command and developing economies. Market economy is an economic system in which prices are based on competition among private businesses and not controlled by a government. Command economy is a system where the government, rather than the free market, determines what goods should be produced, how much should be produced and the price at which the goods will be offered for sale. Developing economy is a branch of economics that focuses on improving the economies of developing countries. Development economics considers how to promote economic growth in such countries by improving factors like health, education, working conditions, domestic and international policies and market conditions.
The United States is generally a mixed economy based on private ownership because the consumer plays a larger role than the national …show more content…
The government sets all wages, prices, and production levels, and all products are manufactured by state-owned industries. Nearly all property is owned by the state, and the government controls all imports and exports. North Korea remains the world’s most repressed economy, firmly following a system of state command and control under the regime’s long-standing songun (“military first”) policy. Every aspect of economic activity remains tightly controlled by the Communist Party and Kim Jong-un. Government spends half the nation's gross national product on the military, and the command economy is failing to produce enough food to feed the country's population. North Korean economy is divided into three tiers: the formal economy, controlled by the state; the military/industrial economy, dedicated to producing goods and services for the country's enormous army; and a third "court" economy, which procures special goods and services for the three million or so political
The United States is generally a mixed economy based on private ownership because the consumer plays a larger role than the national …show more content…
The government sets all wages, prices, and production levels, and all products are manufactured by state-owned industries. Nearly all property is owned by the state, and the government controls all imports and exports. North Korea remains the world’s most repressed economy, firmly following a system of state command and control under the regime’s long-standing songun (“military first”) policy. Every aspect of economic activity remains tightly controlled by the Communist Party and Kim Jong-un. Government spends half the nation's gross national product on the military, and the command economy is failing to produce enough food to feed the country's population. North Korean economy is divided into three tiers: the formal economy, controlled by the state; the military/industrial economy, dedicated to producing goods and services for the country's enormous army; and a third "court" economy, which procures special goods and services for the three million or so political