Explain How Economic Systems Attempt to Allocate and Make Effective Use of Resources.

The idea of the welfare state can mean something different in each and every country. There is an ideal model of the welfare state which is where society accepts the responsibility for things such as the ground work and the provision of wide ranging and

Market economy is an economy system the individuals are owned and controlled most of the resources and are allocated through voluntary market transactions governed by the interaction of supply and demand. The presence of market economy will make a gap or disparity in society. It is happened because people are free to play in the market. In addition, there is no interference from the government and it will lead to the exploitation. It has lead to the market economy become not an option for a country to stay competitive. Competition in the marketplace provides the best possible product to the customer at the best price. When a new product is invented, it usually starts out at a high price, once it is in the market for a period of time, and other companies begin to copy it, the price goes down as new, similar products emerge.

Free-market and Command economy are the two-major economy system. It has sparked years of controversies among individuals over which system is better. However, no agreement has been reached. Meanwhile, it is obvious that free-market economy predominates all around the world as the majority of countries are following an economy which free-market process the dominating position.

The first characteristic of market society that causes the change to market society essential is that within the economy there is self-regulation and it is defined as “market economy” (Polanyi 68).

"Welfare is the statutory procedure or social effort designed to promote the basic physical and material well-being of people in need," according to the dictionary (dictonary.com). Welfare comes in many forms, such as, Medicaid, HUD Homes, Food Stamps, and Supplement Security Income. Some people use one source of Welfare, while others use all.

For a country to be fully developed and progressive, its objective should be to accommodate and provide the structure to support the needs of its population and also manage the prosperity and happiness of its society. Thus, our nation needs the assistance from the welfare state in order to maintain the stability and structure for the people who are in financial need of it the most.

Social welfare programs are when society organizes efforts to meet some human needs. In the United States social welfare philosophies have changed throughout the years, and support for social welfare has gone both ways.

To solve this problem, government purse redistributive policy. Anderson (2000), said that, redistributive policy is a process which transfer the wealth from the wealthy people to the poor people. This allows the poor to rise their living standards. For instead, the government impose import and export taxes to a company. The collections from this taxes redistribute to the people who in need. They can get subsidy for the things that they need for their works. For example, the farmers get subsidy for their input items. Besides that, the government also implement redistributive policies by launching many programs to promote equity. For instead, United States government launches legislation to reduce the poverty rate and promote equality. That legislation

Social Policy is the study of social services and the welfare state. In general terms, it looks at the idea of social welfare, and its relationship to politics and society.

Economic systems are organized way in which a state or nation allocates its resources and apportions goods and services in the national community. An economic system is slackly defined as country’s plan for its services, goods produced, and the exact way in which its economic plan is carried out. There are three types of economic systems exist, they are command economy, market economy, and mixed economy. Command economy is also sometimes called planned economy. The expectations of this type of economy is that all major decisions that related to the construction or production, distribution, commodity and service prices are all made by the government. However, in market economy, national and state governments play a

In our society today, there are many distinct types of economies. The three leading economies are Market economies, Traditional Economies, and Command Economies. Each Economy is very diverse and unique from the next. An example of a market economy is in the US, and in a market economy there is a great deal of individual freedom and less government involvement. A market economy is based on Capitalism. A Traditional economy is a small group of people who are their own government. Not many societies today use a traditional economy. In a command economy the government controls all economic decisions. Examples of command economies are communist countries such as China and North Korea. Each type of economy has its own advantages and disadvantages as well as its differences about resources and government involvement.

Different market decisions determine how an economy is run. There are several different factors that account for how markets make their decisions, which determines how they function. The theory of markets mostly depends on supply and demand. However, it is key to note that there is a difference in demand/supply and quantity demanded/supplied. A demand is how much the buyer plans to purchase at various markets prices and the quantity demanded is what the buyer actually purchases at a particular price. Supply is the producer or the seller’s plan of the amount the seller will make available at different market prices and the quantity supplied is the actual amount that the seller makes available at a particular market price. It is important to

In the Market Capitalism Model it is easier for any individual to enter the market. Any new business that enters the market is in to make profit and to create competition. Competition creates and offers better value to customers and opponent firms. Businesses in this model focus on creative work and profitability. The creative work is well done therefore people are happy with the products, services etc. In the Market Capitalism Model management’s goal is to increase shareholders interests (investments). Government regulations are limited.

When the government gets involved and taxes goods and services, it raises revenue for the government, decreases the quantity of goods produced and consumed and therefore, both consumers and the producer of the good will pay, splitting the costs of the tax and leveling up with society’s.

Whenever economic turbulence increases, the policy makers adjust the taxation rates in an effort to stabilize it. When it comes to income