Topic Four (1.4): Resource Allocation in Different Economic Systems

Introduction Icon.png Introduction

In this topic you will learn how different economic systems allocate resources. You will investigate decision-making in markets, planned and mixed economic systems and analyse the advantages and disadvantages of the different systems.

Skills Icon.png Task

Economics in Context

  • Read the article on page 24 of the textbook and think about and note the advantages and disadvantages of the economic system in Vietnam.
  • Further guidance and model answers can be found in the digital textbook and in General Resources.

Watch Icon.png Watch

Now watch this video, which explains the different economic systems and how they allocate resources:

WATCH – Melanie Farris Beran: Types of Economies (YouTube) Links to an external site.

Read & Make Notes Icon.png Read and Make Notes

Read and supplement your notes from the following sections of the textbook on pages 24 to 28:

    • 4.1 What are the economic systems?;
    • 4.2 The market economy;
    • 4.3 The planned economy;
    • 4.4 The mixed economy.

Glossary Icon.png Glossary

Highlight any new terminology on your glossary.

Skills Icon.png Task

Think Like an Economist

  • Read and complete the ‘Think like an Economist’ task on page 28 of the textbook. Research and highlight the differences between your country and New Zealand.
  • Suggested answers can be found in the digital textbook and in General Resources.

Consolidate Icon.png Consolidate

  • Now try the exam-style questions on page 29 of the textbook.
  • Suggested answers can be found in the digital textbook and in General Resources.

Reflect Icon.png Reflect

  • Draw up a table like the one on page 30 of the textbook and complete the self-evaluation.
  • If there are any areas about which you are unsure, please go back over your notes, the textbook and the resources listed in this topic before moving on.