Trobriand Economic System

That economic system is called capitalism. The way some countries use to control the political and economic movements of every industry it has. Capitalism is the way to create money, starting by one economical source without paying enough to those who work for their family welfare. And this is one of the elements found in this chapter, where this unfairness is a main point to discover the real history behind the tragedy of the whaler’s island.

John. F Kennedy once said “Let us not seek the Republican answer or the Democratic answer, but the right answer. Let us not seek to fix the blame for the past. Let us accept our own responsibility for the future.” Kennedy’s wise words reminds us, let us not try to see which party is better but rather work as a nation to find a solution to the problem and learn from our previous mistakes. Our experiences would lead us not to fail and do the same mistakes once again. This leads me to the importance of an economic system in a country. You may ask yourself why a country needs an economic system. What role does an economic system play in a country?

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

Every society should answer three economic questions, which are what to produce? , how to produce? , for whom to produce? The reason why a society should choose what to produce is because a product of one society’s choice is not necessarily the choice of the other choice. A society should decide how to produce goods, it is due to the fact that not all societies have the same resources, some societies may have a lot of people in them so, if they want to produce a good, they can use their human resources to accomplished their task, in the other hand societies with a low populations but a high amount of machines, can use their resources to finish their task. Some countries may be able to provide items that other countries can not, because

Throughout history, the world has seen the emergence of different economic systems, inspired by some of the brightest minds in the economic field. However, not all economic systems functioned as depicted by their creators, and ended up failing. In this paper, I am going to analyze how every economic system failed or succeeded in a particular set of countries, according to the criterion used and explained in the previous paper. To do this, I am going to explain the history of the countries involved and how each system got implemented. I am also going to take into consideration the different measures of the criteria for assessing economic systems to collect data of the countries analyzed in order to determine if those countries had successful economic systems. I am going to look for cases in which certain parts of the system failed and others in which it can be agreed that it succeeded, and I will explain why, using the information I collected. It is my objective to discover what particular characteristics made each country have a successful economic system, and what differences they have compared to other not so successful nation-states. It is worth mentioning that there is no perfect system, and that the purpose of this paper is to show cases of countries in which a specific ideology caused an either positive or negative result in the economy, polity or society.

James Madison, one of the founders of our country, said, “A good government implies two things: first, fidelity to the object of government, which is the happiness of the people; secondly, a knowledge of the means by which that object can be best attained (Federalist no.62).” All economic systems are controlled by a government, therefore the goals are chiefly the same. Most economic systems have the prosperity of their population as their ultimate goal, but they utilize different methods to accomplish it.

According to Economics: Principles & Practices, one of the disadvantages is “that it does not provide for the basic needs of everyone in the society.” That is true, but with the assistance from some government services such as Social Security and Medicare, the people will be helped and still remain free to purchase and buy what they want. Another disadvantage that is stated is the possibility of economic failure. The economic could fail if there is not enough competition. In a mixed market economy, the government helps prevent monopolies and to ensure competition (Economics, pg 39). With the competition, motivation is created to strive to be successful.

They mainly "gathered nuts, seeds and plants, which they would have supplemented by scavenging dead animals killed by other predators and perhaps the hunting of a few small mammals."3 A wide variety of food was available and provided a sufficiently nutritional diet. This form of economy was often far from meager and likely represents the original affluent society since scientists speculate that a large amount of leisure time was available. Hunting and gathering provided a very stable and long lasting livelihood described as simple and communal.

This theory is used to explain how different systems of production and their accompanying socioeconomic institutions characterize different economic periods (Blau, 2003). The SSA theory accepts crisis as a part of the capitalist cycle, and expects the market to collapse for new opportunities for growth and capital gains.

The word economy is an expression from the Greek implication of ‘one who manages a household’. This is an accurate meaning and makes sense because the economy is always confronted with many decisions precisely how a household is. (Resources.seattlecentral.edu, 2017)

Building on the Okun's law, which basically describes a vibrant relationship that exist between national output and unemployment within which a fall unemployment results into higher national output, A. W. Phillips extended to discover the relationship between inflation and unemployment. The string of the basic ideas which revolve around this belief follows that as more individuals work then the national output rises, causing an increase in the wages, a situation that makes the consumers to have supplementary money and willing to spend more, this ultimately results in the consumers demanding more services and goods triggering the prices of services and goods to increase. Ideally, the Phillips curve shows that inflation and unemployment shares an inverse relationship where as inflation raises then the unemployment falls. In other words, if the economy tends to experience an increase in the aggregate demand it will automatically cause an increase in the output; just as the economy approaches full employment, further experiencing a rise within its inflation. On the other hand, with the rise in real gross domestic product, firms workers resulting to a decline within the unemployment.

Throughout homo sapiens evolution tribes managed resources the most efficient ways possible (given their acute primitiveness). For those thousands of years as tribes, they expanded their intellects and became less self-reliant, moving away from hunting and gathering. Humans started to invent new technologies that made their lives easier; thus, individuals specialized in producing or providing these goods and services to fellow tribe members. As they cultivated ever more superior technologies the standard of living grew. This gave way to exponential population growth, towns, cities, kingdoms, and empires were established. Macroeconomics arose as societies devoted time and energy into governing their factors of production and maximizing

Even though the economic system is not specifically targeted in this model, there would be large changes in the economy if this system was truly actualized and if the Christian population exemplified their beliefs. In the early Church, “no one claimed private ownership of any possessions, but everything they owned was held in common” (Acts 4:32). If Christians were to follow this model today, then they would not lead a capitalist economy. Instead of competition, everything would be shared equally so that there would “not [be] a needy person among them” (Acts 4:34). The role of economic growth would no longer be important. Instead, people would look at inequality and happiness measures to ensure that all were cared for equally.

In the historical conditions for economic development, the change in development of countries has lead to enormous transformations of both political and social state. Why did China refuse between the year 1400 and 1980 only to re-build a major presence in the world economy? Why did Europe, an area separated by suffering and strife after the downfall of the Roman Empire, become the existence of modern economic growth? As experts on these two regions of the world, we make particular differences of similar processes.

Economics is an integral part of civilization of the world. In any case, economics issues that emerged in the community is practically quite difficult to resolve. Henry Hazlitt in his book "Economic in one lesson" revealed that economics is overshadowed by fallacies because of two main factors which intensify the problem’s complexity. The first factor is the tendency of people to defend their respective interests. Although some of groups have similar interests with all other groups, yet in fact, they also have competing interests against each other. The second factor causing these fallacies is the tendency of people that will only look at short-term effects of an economic policy or observe it only in a particular group. People are often