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Political & Economic Systems

Political & Economic Systems. Ch. 4 Sec. 3. Jobs of any Govn’t. Maintain social order Provide national security Provide social services to the people Support economic stability & growth. Levels of Govn’t. Most will have national, regional, and local U.S., Texas, Sugar Land

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Political & Economic Systems

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  1. Political & Economic Systems Ch. 4 Sec. 3

  2. Jobs of any Govn’t • Maintain social order • Provide national security • Provide social services to the people • Support economic stability & growth

  3. Levels of Govn’t • Most will have national, regional, and local • U.S., Texas, Sugar Land • Two diff. ways of organizing them- • Unitary system • Federal system

  4. Unitary System • All key powers held by national govn’t (unified) • National govn’t then creates the lower levels and gives them limited sovereignty • Sovereignty = independence or self-rule • Ex’s: United Kingdom & France

  5. Federal System • Powers are divided b/w national and state govn’ts. • Supreme power is given to national (federal) level • States have powers fed. govn’t cannot touch (sovereignty in certain areas) • Ex’s: USA, Mexico, Canada, Brazil, India

  6. Types of Govn’t • How do they exercise authority? • Who runs the govn’t? • 3 diff. categories: • Autocracy • Oligarchy • Democracy

  7. Autocracy • Single person has all the power • Oldest • Get power from inheritance or force (military, police) • Two types: • Totalitarian Dictatorship • Monarchy

  8. Autocracy • Totalitarian Dictatorship • Controls all aspects of society & economy • People have no say, no power to limit ruler’s axns Ex’s: Hitler, Stalin, Mussolini, Kim Jong Il

  9. Autocracy • Monarchy • Absolute monarch (king/queen) has all power • Typically inherited • Ex’s: Saudi Arabia • Constitutional monarch shares power with legislative branch • Ex’s: UK, Japan

  10. Oligarchy • Small group of people who hold power • Gets power by wealth, military, social position, religion • Mostly in communist countries • Leaders of communist party • Most opposition is suppressed

  11. Democracy • Leaders rule with consent of the people (popular sovereignty) • Comes from Greek words ‘demos’=people, and ‘kratia’=rule • Two types: • Direct • Representative

  12. Democracy • Direct- citizens vote and decide on all issues directly • No country has direct • Can only occur in small groups • Representative- citizens elect reps to make decisions based on their needs • Ex’s: France, UK • UK is a democracy with a constitutional monarch

  13. Aren’t we a Republic? • “a constitutionally limited govn’t of the representative type” • The Constitution holds the govn’t in check and prevents the majority from violating the [natural/unalienable] rights of the individual. • No mob rule or “tyranny of majority”

  14. From Freedom House Green= free; Yellow= partly free; Grey= not free

  15. From Economist Intelligence Unit Light Blue= Most Democratic (Norway)  Black= Least Democratic (N. Korea)

  16. From Freedom House Free Democratic Elections

  17. Economic Systems • There are 3 basic questions to ask: • What and how many G&S are produced? • How should the above be produced? • Who gets the G&S that are produced? Each country answers differently…

  18. Traditional Economy • Rules & customs determined by habit, what the ancestors did • Roles passed down thru generations • Not a lot of individual choice • People grow what they need to live • Only in limited places • Ex: Inuit society in Canada

  19. Market Economy • Decisions made by individuals & private grps • Supply & demand ppl choose what to buy so businesses make what ppl want • People choose what jobs they want & who they’ll work for • No govn’t interference • NO one has a PURE market economy

  20. Captialism • aka: Mixed Economy or freeenterprise supported and regulated by govn’t • Govn’t keeps competition fair, trade free, supports public’s best interest • Ex: USA, Japan, Singapore

  21. Command Economy • Govn’t owns and directs the economy • Decisions about production & distribution of G&S • Controls ‘means of production’ (land, labor, capital) • Goal is to distribute G&S equally • Taxes support social services to all citizens

  22. Socialism • Ex: France, Canada • Equally distribute wealth is goal • Public & govn’t ownership of means of production • Typically found in democratic nations • Ppl elect reps who make economic decisions on their behalf • Can be under range of free enterprise (no pure) • If you make a surplus, you can keep the extra instead of “sharing” it

  23. Communism • Equally distribute wealth, goods, get rid of social classes • Govn’t makes all economic decisions • Typically by force/coercion, no voice of ppl Communist Party • Most decline w/o free decision making/ incentives (USSR) • Ex’s: China & Vietnam now allow some free enterprise to promote growth; North Korea does not

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