Economic systems (for Ytube).mp4

Differences between command economies and market economies. Focus on mixed economy towards the end.

Category:

Education

Tags:

• economic
• systems
• communism
• vs
• market
• ecomony
• mixed
• system

[MrGaboy2010]

I LOVE COMMAND ECONOMY'S

[Indrius]

This is false description of communism. What you've described as communism is socialism without private property. That's what Soviet Union was like. Communism is an unattainable utopia where everyone works voluntarily putting as much effort as they can without monetary reward and takes just enough for his needs (and not more) for free. This would require reprogramming human beings, as communists say "nurturing a communistic man". In other words, a high grade BS.

[legolasl2740]

So if i dig under my house and find gold and sold it..i can do that?

i heard thats illegal because it may be own property but its still the governments....im so confused...

[Duracell33xxx]

great presentation 

[maxgunn555]

@JDThinking i know you're kind of giving me a textbook answer but if you don't know then you dont know...im asking how does cost efficiency occur. how is one able to offer the cheaper price. money is just a solution to the societal problem of transactional costs involved in bartering like you said. so it's still like bartering, and with bartering it would only be beneficial to trade not with prices involved but with how much better they could make the product than you could...

[JDThinking]

@maxgunn555 Walmart is getting me my computer cheaper for a reason, but it is not always time. More of it has to do with cost of the materials that make up the computer. In business cost efficiency is paid more attention to than time efficiency. The opposite is true with personal affairs. There is also a "efficiency of use", ie things are more effective at what they do. eg. steel increased this type of efficiency, because it was stronger than what came before; this also has a hand in price.

[maxgunn555]

@JDThinking yes but cost comes about for a reason. if you could make computers faster and thus more plentiful than both target and walmart you wouldn't even have to buy it off them. like i'm asking i guess how do prices come about? surely walmart is getting you a cheaper computer than target for a reason ie it can make more due to it being faster and therefore has more supply. what's the efficiency behind the prices rather than just circularly saying it's to do with prices.

[JDThinking]

@maxgunn555 Not only is efficiency measured in time, but also in cost. If Walmart can get me a computer for cheaper than Target, it doesn't matter to me how fast they did it? Of course not, I only care about cost-efficacy because that is the thing that directly effects me. With intellectual property, there is not necessarily infinite efficacy, because someone can come up with some way to do the same thing with a different process, but your ip can increase efficacy, either with time or cost.

[maxgunn555]

@JDThinking yes but what does a price represent. it represents a trade. and surely when it comes down to it you'd only trade with someone if they can do the actual task more efficiently than you could without any trade. and surely thats measured in time. when i talking about intellectual property i was trying to involve it in the question of what makes one more efficient than another. with intellectual property you're infinitely moer efficient as only you can make that product which has ip.

[JDThinking]

@maxgunn555 What makes some people better at producing certain products is whatever way the person can turn a better profit. That is what measures success in a market economy, the profit AKA the bottom line. Things other than time can measure efficiency, ie a person making a cheaper way to produce steel has made it more efficient. As far as intellectual property, an entrepreneur is the driving force of capitalism, and one strength many consider absent from command economies.