Discussion Content
An economic system can best be described as a method that a
country uses to allocate its scarce resources amongst competing
uses. Economic systems differ in who owns and who controls a
nation’s resources or “factors of production”. In today’s global
economy one can nd multiple examples of the different types of
economic systems – command economy, market economies, and
mixed economies..
In Canada there are four different market structures – perfect
competition, monopoly, oligopoly and monopolistic
competition. These four market structures in’uence the goods and
services that we consume as well as price and service level.
Objective
In this exercise you are asked to demonstrate your understanding of
the three main economic systems and explain the major
distinguishing features between them. You are asked to explain how
supply and demand shocks impact on price levels for each economic
system. You are also to identify a product or service sold in each of
the following market the major market structures operating in the
