globan 10 week exam Flashcards
(15 cards)
what was one similarity mercantilism and capitalism have
The main goal was profit
merc: how should they gain wealth
increase their colonies and accumulate a much gold as possible
cap: how should they gain wealth
competition will increase growth and wealth
mer: how are prices set
each product or buissness is controlled by one person or group that sets prices
cap: how are prices set
producers compete by raising or lowering prices
mer: how are poducts traded
they export more than import and heavily tax the imports
cap: how are products trades
free trade
mer: how involved is the gov in the economy
heavily
cap: how involved is the gov in the economy
not involved
what were Adam Smiths economic beliefs
their should be a free market
explain division of labor
A big job is split up amongst many workers giving them a small specific job that well add up to the bigger overall product
what is the free market and what are the three elements
When people can make their own economic choices. Supply and demand self interest, and competition for consumers.
What is Laissez fraire economics
It lets people make there own economic Decisions freely
Why did the industrial revolution began in great britain
they had many resorses coal and iron mines along with very good harbors
what is utilitarianism
utilitarianism is the idea the the greater the happines the greater the number of people. They think that the gov. should get involved to gain happiness
