#commandeconomy #marketeconomy #economics

• Command Economy And Market Economy Are 2 Types Of Economy Thats Exists Within The Economic World

Command Economy

• Command Economy is a economy were the government takes up the main role to handle the economy, the full control is handled by the government which does not give any freedom to the private firms and individuals of the economy.

• Example -: North Korea And Soviet Union

Market Economy

• A market economy is a economy where government has no interference with the private firms and individuals of the economy, this is a economy were individuals and private firms have the majority of their control and have full freedom unike the command economy which does not let firms and individuals have control

• Example -: Singapore And Etc

Introduction To Macroeconomics

• Individuals and societies are forced to make choices because most resources are scarce.

• Economics is the study of how individuals and societies choose to allocate scarce resources, why they choose to allocate them that way, and the consequences of those decisions

• Scarcity is sometimes considered the basic problem of economics. Resources are scarce because we live in a world in which humans’ wants are infinite but the land, labor, and capital required to satisfy those wants are limited.

• This conflict between society’s unlimited wants and our limited resources means choices must be made when deciding how to allocate scarce resources.