Economic system

A economic system is a diagram of Organization sociƩtale of the production, the distribution and the consumption of the goods and services.

One also uses the term of economic model .

Presentation

August 1st

The economic system set up in a country has a great influence on the standard of living of its inhabitants, on the level of the inequalities (political of more or less thorough Redistribution), on the relations with the other countries (economic opening) and on the economic power.

The economic systems vary according to the areas and from the times.

The Western Pays follow today an organization based on the Capitalisme. The economic system of the countries of the ex- Eastern bloc was founded on the principles of the communist economy.

The economic system has an effect on the Economic development because it conditions the resource allocation: it is a mode of allocation of resources.

The economic system induces an interaction indirect between the environmental system (resources) and the demographic system (needs).

See too

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