Mixed Economy vs. Market Economygreenspun.com : LUSENET : Economic History (and Related Observations) : One Thread
I'm a high school student from Canada and I'm doing a debate on which kind of econmoy is better, but it is hard to find any information on this subject. I've been trying to find imformation on my resoultion which is "Canada's economic system(mixed economy) is superior to that of the United States (Market economy)", this is a difficult topic to reseach and I was ownder if any one has any advice or thoughts on the subject. I've been looking at the whole picture which economy has the most negative affects of each economic system poverty, dollar value, companies being taken over seas, and national debts.
-- Rhiannon (firstname.lastname@example.org), September 14, 2000
I believe that a mixed economy is essential for a counries economy to work efficiently and effectivly. The balance between the two is what is needed. I believe that many countries are close to find the right mix but neither America of Canada has it right!
-- Ben Morgan (email@example.com), February 22, 2001.
Mixed economy is theoretically co existance of capitalism and socialism - the idea behind is to get the benefits of both systemswith out drw back
Ideally this should be the best. Where extremes of capitalism and extremes of socilism are under check. With freedom, entreprensurship,and welfare that doesnt muffle initiative and drive must be better than unbridled cpaitlaism or socialism.
Capitalist belief that wealth generated will peroclates to the bottm line and sustain the poor on sound bais has proved false.
You shoud build up your debate by adding following statics of US
Number of home less in USA Crime rate per 100,000 of populaiton Number of persons below self sustianable income Cost of medical services & Education
wish you all the best in god
with prayers & love
-- k.r.ajay kumar (firstname.lastname@example.org), March 28, 2001.
Dear Rhiannon: This is a responce to your letter I am also doing a debate on this topic and I know how difficult it is to find info. on it. So if you find any let me know.
-- kelsey bailey (email@example.com), June 03, 2002.
Hmmm... I am also doing a report on the topic. We have found nearly nothing on the subject. If you find any good info, please e-mail me! Thnx!
-- James Dielissen (firstname.lastname@example.org), June 05, 2002.
I agree with kelesy , I belive that it is extremly difficult to find information on both mixed and market economies.Please send me any information you have left over.
-- ryu tsui sen (email@example.com), June 05, 2002.
Hi my name is Chase.
-- Chasae (firstname.lastname@example.org), June 05, 2002.
Hey. I'm doing a written essay on the debat Market Economy vs. Mixed Economy and I can't find anything. If you do find sny information, feel free to contact my e-mail below, thank you
-- (email@example.com), June 05, 2002.
Of course, each system has its benefits. In a market economy, an individuals gain rises and falls depending on his or her success. An individual does not need the community to prosper in order ot show a profit. Everything is driven by the "supply and demand" cliche allowing for overall individual gain and random prosperity. A mixed economy, on the other hand, keeps significant loss and gain to a minimum as the economy tends to adapt to change. Unlike a pure market economy, individual gain depends almost solely on the communities success. So, as the community's economic status improves, the citizens of the community prosper. Perhaps the best part of the Mixed Economy System, is that it does incorporate some of the values of a market economy; such as the ability to allow an individual to proper when his or her community is in decline. As the individual profits, he or she will begin to pour money back into the community helping the community's economic status rise along with its citizens' success.
-- Derek (firstname.lastname@example.org), September 06, 2002.
yo man, I'm currently researching myself into market, command and mixed economies. all Ive been told about the situation in canada is that it is struggling currently. however, for your work, you should constantly remind the reader that George Bush is in charge of the USA and so every country economic situation is better than that of the US.
-- francis (email@example.com), September 22, 2002.
It is very important to note that although the capitalist countries are well ahead in technology and in research and development;there sttil lies a critical near/above or below the poverty in the so- called 'Develped Countries'.Countries who have adopted mixed-economy seem to achieve a better overall standard of living than the true capitalist nations,for eg.Japan,India,Denmark,New Zealand etc. To escape the tyrannic rule of the capitalist policy,the mixed- economy provides the lower classes an opportunity of welfare,education and tax-benefits to the middle-classes.
-- sameer sawdekar (firstname.lastname@example.org), November 07, 2002.
I'm a banana!
-- Jesse James (email@example.com), September 12, 2003.
Grandma got ran over by a reindeer!
-- Shandy Wang-Hang Lo (firstname.lastname@example.org), September 12, 2003.
NON NEITHER MIXED OR MARKET.... COMMAND SI THE SOLUTIONNNNN!!!
-- Lenin 4ever (email@example.com), October 22, 2003.
i think i got i very nice serve....lol i am kidding..i amj also doing a project on the mixed economy.....i am in a grade 8 class with a great teacher...
-- joey g (firstname.lastname@example.org), November 11, 2003.
Market this marketthat america sucks crap!
-- whatzizname whodunnit (email@example.com), December 03, 2003.
In my social class, we were also given an essay question: Should Canada change its economy to become more like the American economy. I think I am going to write supporting that Canada should changed from a mixed market economy into a true free market economy. Being that there isn't a lot of information, I was going to say that a market economy adds more freedom from governent, really depends on supply and demand/consumer and buyer. Also it is an advantage for the rich, because they get richer, but the poor get poorer. I don't really know what else to say. Please email me if you have any answers
-- Nick Williams (firstname.lastname@example.org), December 11, 2003.
hey- i'm doing a report on mixed and market economies too. i was disturbed by some of your answers here. i am an american, but i moved to calgary this summer. a lot of your answers were all putting down george bush, and ever since i've moved here all i've heard is crap about him and the united states. i would just like to say that george bush is doing a hell of a lot better than bill clinton did, and he's definitey a much better leader than of you could ever be. none of you have ever been in charge of a country bofre, so you should just shut your mouthes, because your not in a position to comment on him, since you don't even live in the united states. even if george bush was doing a bad job, it wouldn't even be your problem, since you don't live there, so why don't you start griping and bitching about how bad your own canadian politicians are!
-- kyla cook (email@example.com), December 11, 2003.
omg kyla u weenie.......................... anyway...
I'd have to say that canada's mixed market economy has a better overall class than america's capitalist economy. Karl Marx described in the 19th century that a capitalist economy describes a system in which a small group of people who control large amounts of money or capital and that really does explain U.S... although bush takes some input into the actions of americans, mostly it is a full out capitalist economy. americans have always believed that some services are better performed by public rather than private enterprise. the U.S. government is primarily responsible for administration of justice, the road system, education, national defence and social statistical reporting. It also profides welfare so it does take care of the those who have encountered problems a little bit, but not too much. canada's mixed market economy has a lot more support from the government for those needing a welfare cheque, but keep in mind our national defence isn't very high so more money can be spent from the government, although canada does at the moment have around a 500 billion dollar federal dept. thats about it for now I have to go write my essay..
-- leslie cassidy (firstname.lastname@example.org), December 11, 2003.
omg you people i cant stop laughing kyla omg....ahhaha im a nerd dont mind me
-- pleasetrynguess (email@example.com), December 12, 2003.
hahaha, ok, sorry about my major bitch-session yesterday! so, i found a few good sights on market and mixed economies here's an excellent sight on market economies: http://usinfo.state.gov/products/pubs/market/
then here is a really good sight on mixed economies: http://www.google.ca/search? q=cache:c8UIA0L_qkMJ:www.uregina.ca/admin/faculty/Langen/Admin_405/Th e_Machinery_of_Government.ppt+business,+government+% 26+society:+a+brief+history+of+business+government- relations+in+canada&hl=en&ie=UTF-8
that website is a powerpoint presentation, and its REALLY good
-- kyla cook (firstname.lastname@example.org), December 12, 2003.
i would have to agree with everyone. yeah there isn't alot information on mixed economy and a market economy either. but have found a few things about both of them. In a mixed economy it is coexisted with capitalism and socialism.Behind this idea is to the benefits of both systems without any draw backs.
-- kenneth sturgeon (email@example.com), December 16, 2003.
i think people should put more in fo on mixed market ecomies (pros and cons)because it is sooooooooooooo hard to write as essay and then give a speech when you don't have any information to help you out. Any smart people out there PLEASE!!!!!!!!!!!!!!!! send us some info cuz this is sooooooooooooo dumb! anyway..... we really need this info.
-- Fredina Lapinsky (firstname.lastname@example.org), January 14, 2004.
I am doing an essay on why Canada has a mixed economy.
-- Sourov Roy (email@example.com), January 25, 2004.
New zeland rools j00r asses :0 ((
-- Mark tompson (CHICKENSrRUNING@HOTMAIL.COM), February 15, 2004.
Hehehe, I posted a message here over 2 years ago and it's still here!! Sad...
-- James (firstname.lastname@example.org), March 18, 2004.
There is no such thing as a mixed economy. Socialism--as it was traditionally thought to work--didn't have a market. These days socialists have realized that you can't manage a society of any size without markets. Therefore, the only considered question is how much a government should interfere with markets. Some say none, some say some, some say a lot.
-- Russell Nelson (email@example.com), March 24, 2004.
Greetings Fellow Students, I am a student at the American InterContinental University. I was given an assignment from my Prof. of International Business:
Debate the benefits and drawbacks of both market and mixed economies on the Discussion Board. Present questions for any opponent’s arguments, looking for holes and inconsistencies. Attempt to answer any arguments made against your position.
That's when I came across this website. I was amazed to see that this site started four years ago and is still going. Therefore, for the person(s) who wish to research this subject further and obtain ideas, I will add my resutls of this assignment. I can only hope that I can inspire this subject to continue as the people have inspired me and assisted me with ideas to complete my assignment. -J.McVicar
-- Jeremy McVicar (firstname.lastname@example.org), March 30, 2004.
Jeremy McVicar Discussion Board Unit 2 International Business 230 Assignment Type: Discussion Board Due Date: 4/3/2004 Debate the benefits and drawbacks of both market and mixed economies on the Discussion Board. Present questions for any opponent’s arguments, looking for holes and inconsistencies. Attempt to answer any arguments made against your position.
Mixed and Market Economies Benefits and Drawbacks
Today’s world is a small place compared to that which existed one hundred years ago before the advent of modern communications and faster travel. The global market is not only an ever-changing environment, but one that exist with a profound effect on each individual; perhaps more than he/she knows. The rigors of various international business ventures require not only an understanding of culture, but an in-depth knowledge of today’s world economies. With the exception of some twelve economies through out the world such as North Korea, today we see primarily that of two different economies; mixed economy, and market economy. But what exactly are the benefits of each, and what are some drawbacks? Furthermore, the question of what seems to be the better of the two is an ongoing debate.
The Mixed Economy
A mixed economy is defined as an economy that allows for the simultaneous operation of publicly and privately owned enterprise. Control of economic development, and outlook is shared among government authorities and privatized businesses. Government control the economic sectors that it considers important to national security and long term stability such as, iron and steel manufacturing, petroleum production, and the automobile industry. Of course these vary among the different nations in the world which utilize a mixed economy. Other industries or manufacturing operations within a mixed economy are typically privatized although some may still be regulated to an extent.
Benefits and Drawbacks of a Mixed Economy
There are several benefits to the regulation of a mixed economy. To discus the primary benefits which come to mind, it is also important to address each benefit with a drawback to better gain an overall perspective of the differences between a market base economy and mixed economy.
The level of control that the government assumes within a mixed economy leads to the government having a major role in the delivery of its own services. At the same time, the private sector will have an important role in helping to build government infrastructure to deliver these services. This can cause an increase in overall production and/or efficiency.
Given this, a drawback would accure if the government failed to clearly identify the method of infrastructure it needs from the private sector. Production may not keep up with supply and demand of the general population and create a surplus, or deficiency of goods or services, this then contributes to loss revenue/profits.
Many mixed economies maintain a healthy welfare system to support the unemployed and provide health care to the general population. This can guarantee that properly qualified health care professionals and wealfare workers are trained prior to employment. This also ensures that the lower level income bracket is able to access a minimum same level of quality healthcare and treatment as the higher income bracket of society.
On the other hand, certain aspects of the welfare system may be taken advantage of far too often, ultimately leading to a loss of government funds. Medical professionals may see better business opportunities within the realm of private practice. Certain individuals may want a higher quality level of health care than is available from government regulated institutions and may not have a choice or freedom to choose.
Corporate structure (within certain industries) is more heavily regulated leading to less corporate greed. An adverse example would be that of the Enron case which left hundreds of employees without a retirement fund. Such a company regulated under state control would limit this particular type of greed, thereby protecting the rights of individuals.
Lets face it however, typically the methods of retirement under a business which operates under a market based economy can yield a better return for what an employee invests. This is primarily due to more options available while not being only limited to what the state owned and regulated corporation offers. In addition, a corrupt government can also skim retirement funds into the coffers of the few.
When conducting business in some mixed economies, Guanxi, or personal relationships, can be of benefit and get you ahead when you seemingly can’t find other methods.
This of course plays a downside within structure of business ethics in some mixed economies. Certainly people in the United States would debate the issue. Such methods as guanxi to establishing business ventures, or business transactions can lead to what some may consider corruption or bribery.
The Market Economy
A market economy is defined as an economy that operates by voluntary exchange in a free market and is not planned or controlled by a central authority; a capitalistic economy. A market economy is full of a variety of benefits to business and consumers. It is very difficult to find drawbacks within an economy we Americans live in. In my personal view, we tend to think that our system is better than any other, perhaps leading towards an ethnocentric type belief not in our culture, method of government and economics. Certainly I can search the web or read my text and find many discrepancies within a mixed economy, yet can not find too much negative aspects against a market economy. Perhaps many of the drawbacks of a market economy are within the realm of macroeconomics, such as wages, employment, laws, etc. Given this, I will attempt to address a couple of issues in the area of microeconomics.
Benefits and Drawbacks of a Market Economy
For those countries which already utilize a market economy, economic freedoms typically allow for a higher standard of living and better work wages.
However, these economic freedoms and benefits of better wages are not always the case for new countries adopting a market based economy. Poland for example is categorized as relatively homogeneous by views of dominant macroeconomic trends during the transformation of mixed economic methods to market economic methods from 1994-1997. These transformations lead to much unrest and an unemployment rate of 17%.
Market based economies regularly share a lower unemployment rate compared to that of mixed economies.
Today, unemployment is a concerning factor while businesses move overseas to countries such as China to pursue cheaper operating cost and low labor costs, this creates an even higher unemployment rate and a serious issue among many of todays market based economies.
Property Rights are enforced to a higher degree in market based economies compared to that of a mixed economy such as China.
To address this issue as a negative, I can only refer to what everyday life was like as I lived in China. While westerners enforce property rights in terms of piracy, Many Chinese tend to believe that ethically it is Ok to copy another persons idea and market it. As a business owner in China attempts to establish himself/herself in a successful business and support his/her lifestyle to a higher degree through a better standard of living compared to that of the “average” standard of living in China, it is perfectly acceptable to pirate various media. Furthermore, as the laws are not enforced regularly, it is worth the easy, and acceptable to do this in a developing/mixed economy such as China. This helps to gain more profit for new business owners helping to ensure success.
(For the record: In China Violation of Property Rights is just as illegal as in the United States, however, Government laws are not enforced due to ethical and moral standards of people compared to that of the United States or other market based economies. Furthermore, it is regarded as “OK” to conduct this type of business if it means more money and laws are not enforced. )
In conclusion, these benefits and drawbacks listed for each type of economy can be transferred. In other words, what I have listed as a negative within a mixed economy in the first section of this report can also be regarded as a positive for a market based economy in the second portion of this report; and vice versa. The list certainly goes on well beyond what I have discussed above however finding the better issues of benefits and drawbacks is perhaps best left to, and understood by an Economist. Never the less, it is important to consider and understand to reasonable degree when talking about international business.
Finally, the question arises; what is the better of the two economies? I myself can not answer this and don’t think many people can. If someone can answer it, are they right? I would like to see many changes in the United States that take the form of a mixed economy. The area I believe needs the most reform is the health care sector and regulation of health insurance agencies. I suppose that the best of economies would be determined by what can be of most benefit to the ones who wish to conduct business or reside within an economy. I know that many American companies seem to think that mixed economies are of better benefit to them due to the number of businesses moving to Mexico and overseas to countries such as China. Of course this is another debate all together.
WORKS CITED Books:
International Business, by: John J. Wild, Kenneth L. Wild, and Jerry C.Y. Han
World Wide Web:
Dictionary Online www.dictionary.com
International Business, by: John J. Wild, Kenneth L. Wild, and Jerry C.Y. Han
World Wide Web:
Economic History (and Related Observations) http://www.greenspun.com/bboard/q-and-a-fetch-msg.tcl?msg_id=003oBw
Creating A Mixed Economy http://www.number- 10.gov.uk/su/delivery/creatingamixedeconomy/content.htm
Dictionary Online www.dictionary.com
Home School Resource and Archive http://www.worldandihomeschool.com/public_articles/1999/october/wis18 864.asp
The Twentieth Century: An Economic Retrospect http://www.siu.edu/~esa/econ302i/readings/20thcentu.htm
Transition to a Market Economy and the Distrubution of Wages http://www.lehigh.edu/~incbeug/Attachments/Transition%20to% 20a%20Market%20Economy.PDF
-- Jeremy McVicar (email@example.com), April 01, 2004.
thanks jeremy, im also doin an essay comapring command and market economies, and this was very nhelpful. it also helped me find some good resources.
-- jessica wagner (karateeChik17@hotmail.com), May 10, 2004.
thanks a lot jeremy.your report helped me a lot.i covered almost all points for my debate.anyone wanting more information on this debate write to me &i will provide u with loads of it.
-- manjiri (firstname.lastname@example.org), June 13, 2004.
Jermy, I also attend the American Intercontinental University. I am now taking the international business course and I have the same exact assingment. Your report helped me find what I was looking for thank you.
-- Harmony (email@example.com), June 14, 2004.
-- lascell jihnson (firstname.lastname@example.org), October 26, 2004.
i own your mother fater son and daught plus i love you all. you are very cool. Mr. Monaghan is the bomb
-- bob parker (email@example.com), November 04, 2004.
A truly free market would be the ultimate exploitation of the working class by the bourgeoisie. To prevent such a most serious subjugation and near-slavery, we must take measures to avoid such an incident. I am very much a proponent to Planned Economics (Or Command Economics if you are in a Western country that changes words to make things opposing Capitalist values sound worse) and believe that with key industries under the control of society as a whole, all people will benefit equally and all people will be catered to, rather than the sometimes selective service provided to people under Capitalism. I support small businesses very much as well as family farming, so technically you could call me a Mixed Economy kind of guy, even though it is just that one issue I differ on from the infamous Karl Marx.
Anywho, Canada is a much freer and much more successful nation and it will only continue to be such provided that its citizens remain intelligent enough to maintain the Mixed Economy. The United States has a relatively high rate of unemployment, homelessness, and poverty compared to most, if not all, of the developed world. Mixed Economics is sound planning, in my opinion, and quite an improvement from the standard Capitalist trends. Which are, as someone here has mentioned, based on false cyclical logic and random prosperity.
I hope I have assisted you in your project, comrade.
-- Comrade Martin (Martin75s3@aol.com), November 05, 2004.
One containing features of both capitalism and socialism. Australia is a mixed economy, with major state-owned enterprises in communications, transport, banking, energy generation and health services, as well as privately owned enterprises in the same areas. In common with capitalist economies such as the UK and New Zealand, Australian governments are reducing these activities by privatising state-operated businesses. Other examples are seen in eastern Europe and the former Soviet Union, where newly independent states have embraced the principles of private enterprise. China, too, provides a striking illustration of the transition to a mixed economy.
-- Winifred Nemfor (firstname.lastname@example.org), December 15, 2004.
4 years ago Rhiannon started a posting place for a simple yet difficult question. 4 Years later that question is still going on and some very educated words have been posted by numerous people. I don't think that Rhiannon ever thought it would still be going to this day. HA that's pretty cool.
-- Lou Dog (email@example.com), December 15, 2004.
i really needed some resources for my report this really helped me thanks to everyone's responses especially jeremy's thanks everyone
-- Jonathan (firstname.lastname@example.org), February 07, 2005.
god i hate this forum. nothing useful.
-- hello chink (email@example.com), February 21, 2005.
recently i've been given an assignement on finding the advantages and disadvantages of a mixed economy. at first i had no idea what country had a mixed economy until i found this page and read the comments on how canada has a mixed economy. that has helped me with part of the assignment and now i need some advantages and disadvantages. i have read through the comments and haven't found much answers. is there any more info. anyone else has about mixed economies??
-- Lei (firstname.lastname@example.org), February 21, 2005.
My economics assignment is= "compare the ideas of Adam smith and Karl Marx and determine who would be most happy with canada's economic system today" I rele need some help from u guys in this topic...i thought ur ideas on mixed economy were very helpful...what do u think about this question? who would be more happy to live in canada based on their economoc views. thnx a lot! mike
-- mike (email@example.com), February 26, 2005.
Hey everyone whats up? a Market Economy in my opion is a lot better than a mixed or command. A mixed market is a good but i'd rather live under the market econ
-- Dave (Boarderclarkee15@aol.com), February 28, 2005.
u suck man,
this iz a lie man
-- Ur Moms Gay (u firstname.lastname@example.org), March 07, 2005.
From the little I have read with regard to the Mixed and Free Market economy, I have come to realise that both systems are very good depending on the environment they are practised.
Government exists to identify the needs and wants of its people and create a condusive atmosphere in meeting those needs and wants.
The people also owe a duty of making sure that their social obligations are carried out in a manner that realise the dreams of the government in promoting the social and economic life of the people in a given country.
Government is just a small body deciding for the whole country, which at times does not help other people as needs and wants of individuals are not the same. There is the need to bring the private sector into the economic problem solving equation.
Because of human selfishness, free market economic would tend to marginalise the very poor in the given society, since it is operated on Laissez Faire approach, that is 'let alone'. So many market abuses, such as monopolic power that requires government involvement in correcting these abuses to make life smooth for each and everyone.
In the nutshell, mixed economy is the best system to accelerate economic growth and development .
-- Samuel Ohene-Boateng (email@example.com), March 14, 2005.