MGTA01H3 Lecture Notes - Lecture 2: Socialist Economics, Communist Society, Market Economy
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MGTA01H3 Full Course Notes
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Mgta01h3 lecture 2 factors of production. Lecture 2 will cover chapters 1 and 2 of the introduction to canadian business textbook. Different types of economic systems manage the factors of production in different ways. Businesses generate value, but to realize that value, they must enter into exchanges. A group of businesses, and other non-business organizations, the members of which engage in exchanges in a regular and organized way, forms an economic system. An economic system is a system of production, resource allocation, exchange, and distribution of goods and services in a society or a given geographic area. Relies on a centralized government to control all or most factors of economy production and to make most production and allocation decisions. There are two basic forms: communism and socialism. Communism is a system in which the government owns and operates all sources of production.
