Smore Vocabulary Words
Nicholas McElroy
Economic Systems
Free Market
Limited GOV. Involvement, high quality goods due to competition, government lets the people awnsers 3 basic economic questions.
Traditional
A traditional economy is an original economic system in which traditions, customs, and beliefs shape the goods and the products the society creates. Countries that use this type of economic system are often rural and farm-based.
Command.
The government owns and controls everything. Government controls production and makes all decisions.
Levals of Economic Activity
Influental Groups of Countries
NATO
North Atlantic Treaty Organization- Alliance between democratic nations. Formed during the cold war as a way to try to unite the democratic countries in the face of Russia. It really was another move to stop the spread of communism.
NAFTA
North American Free Trade Agreement between America, Canada, and Mexico that promotes economic prosperity.
Government Systems
Monarchy
The power lies to a royal family. They make all the decisions and they are carried out simply by their word.
Economic Terms
GDP
Gross Domestic Product- Value of all goods and services produced within a countries borders.
Diversity
Concept that includes the products, workforce skills and capabilities in a local economy, in addition to how well that economy is able to compete in the global marketplace.
Anti-Communist Actions
Truman Doctorine and Marshall Plan
Truman Doctrines purpose was to contain communism. Marshall Plan purpose was to help Europe recover from WW2 with Americas money.