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Government Economics
Types of government and economics for China and Neighbors
| Term | Definition |
|---|---|
| communism | government controls all businesses and economic decisions. Government is strict; limited rights |
| capitalism | individuals can own business and makes all decisions about production, distribution. Supply and demand determines price |
| socialism | government controls big business individuals can own small businesses |
| constitutional monarchy | has king/queen for ceremonies and have a prime minister and government that runs country |
| absolute monarchy | king/ queen that controls everything. power is inherited through birth |
| democracy | people have the power. voting, high rights, have constitution |
| China | communism. limited rights. moving towards socialism ( starting to allow people to own small businesses |
| North Korea | communism. very strict ( like a dictatorship) limited rights |
| South Korea | democracy. capitalism |
| Japan | constitutional monarchy. capitalism |
| free market economy | another word for capitalism |
| command economy | another word for communism |
| mixed economy | another word for socialism |