Economics

Market Economy Vs Mixed Economy

Market Economy Vs Mixed Economy

In a market economy, an individual's income can rise and fall depending on their success. An individual does not depend on the communities prosperity but rather there own. Everything is driven by supply and demand allowing for overall individual gain and random prosperity. A mixed economy, on the other hand, keeps significant loss and gain to a minimum as the economy tends to adapt to change. Unlike a pure market economy, individual gain depends almost solely on the community's success. So, as the community's economic status improves, the citizens of the community prosper. Perhaps the best part of the Mixed Economy System is that it does incorporate some of the values of a market economy; such as the ability to allow an individual to proper when his or her community is in decline. As the individual profits, he or she will begin to pour money back into the community helping the community's economic status rise along with its citizens' success (Sloman, and Sutcliffe, 2004).

Often time's mixed economies institute some type of health related welfare system in order to support the unemployed and provide health care to the general population. This is helpful because it can aid in guaranteeing that qualified health care professionals and welfare workers are trained prior to employment. It can also aid in ensuring that the lower income brackets are able to access the same level of health-care and treatment that people in higher income brackets are allowed. However with any type of welfare system there is the possibility of people abusing it and taking be taken advantage it of far too often. This could ultimately lead to a loss of government funds. This could also lead to many of the countries medical professionals to seek out the private sector in ...