April 12

Social 33

I gave you a handout today on the "Characteristics of a Mixed Economy" and had you read, highlight, and take supplemental notes on it. I also assigned some questions (on a handout) from Chapter 12 in your textbook A Changing World, which are due tomorrow for homework check marks. I also did a homework check on the "Economic Planning in the USSR" booklet today. I will return this homework to you tomorrow.

Study Guide for Economic Systems Tests:

Next week, you will be writing a couple of tests covering the Economic Systems unit that we have been working on. I've decided to combine the study guide into one, however, please realize that there are two tests:

• Economic Systems Unit Quiz (fill in the blanks format) + a writing assignment from a past Diploma Exam, this quiz is on Thursday, April 19th
• Economic Systems Unit Final (multiple choice questions) is on Friday, April 20th

The following study guide covers both tests:

1. Market Economy

• synonyms for a Market Economy
• Economic Values associated with Market Economy
• Advantages/Disadvantages of a Market Economy
• Adam Smith
• Invisible Hand
• Business Cycle (booms, busts, depression, recession, recovery)
• Law of supply and Demand (effect on price; equilibrium)
• Characteristics of a Market Economy
• Basic Economic Questions (what are the basic economic questions? how does a market economy 'answer' them?)
• USA (model example, please see Ch. 8-9 in A Changing World)
• FDR and the New Deal
• the Great Depression
• Means of Production (examples)
• Economic Individualism
• Competition
• Monopoly
• Private Ownership
• Profit Motive
• Consumer Sovereignty

2. Command Economy

• synonyms for a Command Economy
• Economic Values associated with a Command Economy
• Advantages/Disadvantages of a Command Economy
• Basic Economic Questions (what are they? how does a Command economy 'answer' them?)
• Karl Marx (Das Kapital and the Communist Manifesto)
• Characteristics of a Command Economy
• Structure of the Soviet Economy
• "storming"
• the second economy
• Central Planning of Production in the Soviet Union
• Gosplan
• top-down decision making in Soviet economy
• Economic Planning in the USSR (booklet)
• Lenin
• Stalin
• Five Year Plans
• collective farms
• Stalin and Modernization
• collectivization
• Gorbachev and his economic reforms
• Perestroika
• Glasnost
• please see Chapters 10-11 in A Changing World

3. Mixed Economy

• Economic Values associated with a Mixed Economy
• Characteristics of a Mixed Economy
• Advantages/Disadvantages of a Mixed Economy
• Monetary Policy
• Fiscal Policy
• Basic Economic Questions (what are they? how does a mixed economy 'answer' them?)
• privatization
• Utopian socialism
• Louis Blanc
• Robert Owen
• Business Cycle
• John Maynard Keynes
• Keynesian Economics
• tax incentives
• government subsidies
• please see Chapter 12 in A Changing World
• case studies (Canada-Ch. 14 and Sweden- Ch. 13 in A Changing World)