1. ECONOMIC GEOGRAPHY VOCABULARY
What makes the world go around?

2. Free enterprise system (capitalism)
An economic system in which private individuals own the factors of production and meet consumer demands.
Examples:
The emphasis is making a profit by producing what people WANT.
USA
Hong Kong
Japan

3. Command economy (Communism)
An economic system in which the government owns all the factors of production (and distribution)
The government decides what will be built, how many, what color, and for what price. What the consumer wants is not a consideration.
Examples: Cuba, North Korea, former Soviet Union
China?

4. Socialism
An economic system in which the government owns the MAJOR factors of production and determines what is produced.
“Socialism" means the ownership and control of the means of by the state, or more broadly any form of central planning by the state.
The importance of “being fair” to all is stressed. The government may take from one and give to those with less.
*Examples: Canada, France, Sweden

5. Infrastructure
The basic support system needed to keep the economy going.

6. Human Development Index
United Nations ranking of living standards of every country in the world based on literacy rate, education, gdp per capita, and life expectancy.
1. Norway
Sweden
Australia
Canada
Netherlands
Belgium
Iceland
USA
Japan
Ireland
Mali
Burkina Faso
Liberia
Chad
Guinnea-Bissau
Mozambique
Burundi
Niger
Democratic Rep. of the Congo
174. Zimbabwe