World economics

by Eddie Tam

1. Four economic resources

1.1. Land resources

1.1.1. Natural resources

1.1.2. soil, water, minerals

1.2. Labour Resources:

1.2.1. People for work

1.3. Capital Resources

1.3.1. Money

1.3.2. goods (transportation, factories)

1.4. Entrepreneurship

1.4.1. Person in charge

1.4.2. combine four economic resources

1.4.3. Benefits the whole region

2. Market Economy

2.1. Profits: -driven by profits -products sold higher than produces

2.2. Problems: -usually goes through a cycle of economic depression -entrepreneurs get large profits -labour workers get low profits

2.3. Profits/protecting environment -Most business choose profits; the easy way -companies find protecting environment too pricey

3. Five Economic Questions

3.1. How are the goods and services produced?

3.2. Who are they for?

3.3. How are they given out?

3.4. Who produces them?

3.5. What is being produced?

4. Traditional economy

4.1. For families/relatives

4.2. Based on cultural and religious values

4.3. concentrated where subsistence farmers are located

5. Command Economy

5.1. Government are not freely elected

5.2. One person/group makes all decisions

5.3. Some are military dictatorship

5.4. Lots of money on military

5.5. Little or no education

5.6. Communist economy

5.6.1. Karl Marx introduced it

5.6.2. everyone works together

5.6.3. Equal share of productions

6. Mixed economy

6.1. Traditional & Market

6.1.1. Traditional economy with marketplaces

6.1.2. sells to tourists

6.2. Market & command

6.2.1. no "true" market

6.2.2. Government, business, and consumer affect productions

6.3. Traditional and Command

6.3.1. rely on subsistence agriculture

6.3.2. different methods of farming

6.4. Consumers & producers

6.4.1. Both affect the economy

6.4.2. Consumers

6.4.2.1. Affect the mixed economy

6.4.2.2. protect buyers from fraud

6.4.2.3. prevents fraud

6.4.3. Producers

6.4.3.1. Advertising used

6.4.3.2. Marketing boards promote products

6.4.3.3. Regulate the products

7. Industries

7.1. Primary industry

7.1.1. Harvesting natural resources

7.1.2. Fishing, forestry, farming, and mining

7.2. Secondary industry

7.2.1. Production of the goods/services

7.2.2. i.e. designing clothing

7.3. Tertiaryindustry

7.3.1. Selling of the product/service

7.3.2. Gives jobs oppurtunities

7.3.3. Selling/advertising the clothings

8. Technological change

8.1. ways of harvesting changed

8.2. Mining done above ground

8.3. Easily recording collected grain

8.4. CTL logging systems used

8.5. fast production

8.6. Brought wealth

8.7. creates jobs

8.8. farming uses satellite technology

8.9. little need for workers

9. World trade

9.1. Top traders

9.1.1. U.S.

9.1.1.1. plenty natural resources

9.1.1.2. large trade deficit

9.1.2. Germany

9.1.2.1. high quality products

9.1.3. China

9.1.3.1. Variety of resources

9.1.3.2. low cost labour

9.1.4. Japan

9.1.4.1. known for entrepreneurs

9.1.4.2. imports all minerals and energy

9.1.5. U.K.

9.1.5.1. limited natural resources

9.1.5.2. big supply of energy, oil, and gas

9.1.6. Canada

9.1.6.1. lots of natural resources

9.1.6.2. more than 80% exports go to U.S.

10. Global Trade Alliances

10.1. European Union (EU)

10.1.1. world wars impacted economies

10.1.2. Free trade union

10.1.3. A trade bloc

10.1.4. 12 countries formed EU (1957)

10.2. Organization of Petroleum Exporting Countries

10.2.1. 12 countries rely on oil

10.2.2. Maintain steady income

10.2.3. fair returns

10.2.4. Control the oil

10.2.5. second-biggest oil reserve (Canada)

11. Canada's Trade Links

11.1. WTO

11.1.1. A trade advisory group

11.1.2. Supports free trade

11.1.3. Issues trade sanctions

11.1.4. INvolvement causes competition

11.2. NAFTA

11.2.1. Canada, Mexico, and US

11.2.2. Agreement signed in 1994

11.2.3. Trade bloc to compete against EU