MGCR 382 Study Guide - Planned Economy, Liberal Democracy, Mixed Economy

• School: McGill University
• Department: Management Core
• Course: MGCR 382
• Professor: John Saba

Document Summary

World"s countries as 3 types: developed countries of the global north, mostly located in geographic north of na, japan, eu, also aus & nz, advanced industrial countries, post industrial countries. Import substitution model: economic devt model whereby a free-market/capitalist system is the basis & a country . Gov protect their domestic firms by reducing imported goods through high tariffs on import. Goal -> diversify country"s economy by producing more goods internally. A country"s gov & biggest firms work closely to develop export industries. Country"s gov influences investments, provides incentives for exports. & decides if firms are allowed to export products. Foreign firms are often required to form partnerships with local firms, transfer technology & leave some of their profits in the country. Country"s currency & labour wages are kept artificially low. E. g. mostly applied in asia & often called the asian model . 2 key elements: works with democratic & authoritarian gov. south korea,