In a mixed economy the government may also be a producer of goods. An example of this is the United Kingdom where there are nationalized industries such as railways and coal
Communism is a political and economic doctrine which says that everything must belong to the state and the government is to organize all the production. Karl Marx formulated his idea of communism as “from each according to his ability, to each according to his needs.” Command economy where strategic decisions are made by government and are not regulated by the price system relies on the command doctrine. China still organizes its economy along communist lines but Russia and other former Soviet Union’s countries and East-European countries recently have moved away to more market-based economies.
There are various forms of government restrictions and regulations in economies. For example, Turkey and Norway both limit profits of firms, the latter also controls prices and wages; in Bolivia the tin mines were nationalized; in China communes were established; in Cuba the government owns many industries and firms; and in Britain eight basic industries were nationalized.
A free market economy is rare in the world.
The level of economy regulation is different in different countries. In some countries it has grown recently, in other more freedom were granted to firms and individuals. But the general tendency is to keep government regulation at quite a high level.
Task 1. Скажите по-английски:
В 70-е годы; в течение 40-х годов; в 30-е годы XX века; в 90-е годы
XIX века
Ex.1 Найдите в следующих предложениях сказуемое и переведите предложения на русский язык.
For 40 years after 1945 countries in Eastern Europe had planned economies in which market mechanisms played only a small role.
The government plays an important role in allocating resources in the economy.
Goods are produced on farms or in factories. Goods of the both groups are consumed by the people who buy them.
A government planning office decides what will be produced, how it will be produced, and for whom it will be produced.
Resource allocation decisions are being made every day in every city, mostly through the mechanisms of markets and prices.
When there was a bumper coffee crop (очень высокий урожай кофе) in Brazil, much coffee was bought by the Brazilian government from farmers and then burnt.
Grain (зерно) markets have greatly changed over the last 25 years in the United States and Europe. Both have high levels of government intervention in their agriculture.
The ideas of Adam Smith, the famous Scottish philosopher and economist, have been studied by economists for over two hundred years.