Government & Economics of Latin America

What type of economic system does Mexico have? Command Market Nixed closer to Command Mixed closer to Market What type of economic system does Cuba have? Command Market Mixed closer to Market Mixed closer to Command What type of economic system does Brazil have? Mixed closer to Command Market Mixed closer to Market Command Fill in the blanks with the best choices from the word bank. Be sure to reread the text to make sure it makes sense! Brazil's economy is one of the largest in the world and the wealthiest in South America. The country has a huge supply of natural resources. Brazil produces its own food and also exports coffee, soybeans, wheat, rice, corn cocoa, and citrus fruit. Sugarcane is also produced.Brazil's factories make everything from clothing to auto parts, steel, chemicals, and building materials. Minerals like tin and iron ore are exported. Brazil had large oil reserves as well.Brazil's economy has a high level of government involvement. People are allowed to own private businesses, start businesses, ad make their own economic decisions, government still places many regulations on those businesses. If a country like Brazil wanted to move more toward a market economy, what should it do? decrease government involvement increase government involvement add more laws and regulations that businesses must follow Factors of Economic Growth human capital the value people bring to the workforce through their knowledge & skills capital goods the materials, buildings, and technology used in businesses natural resources assets (raw materials) occurring in nature that can be used for economic production or consumption entrepreneur an individual who creates a new business, bearing most of the risks and enjoying most of the rewards How can a business improve its human capital? It can't. through education, training, healthcare, etc. through upgrading and improving the equipment they use to do their job through encouraging entrepreneurship How can a country promote (encourage) more entrepreneurship? It can't. by adding more laws regulation by removing some laws regulations Look back at the previous question. Why is your answer correct? Because when laws and regulations are added, it is easier, less expensive, and less time consuming to start a business. Because there is no way for a county to increase entrepreneurship Because when laws and regulations are taken away, it is easier, less expensive, and less time consuming to start a business. Complete each sentence by filling in the blanks. 1. Brazil's economy is mixed closer to market.2. Cuba's economy is mixed closer to command.3. Mexico's economy is mixed closer to market. Fill in the blanks. Be sure to reread the passage to make sure it makes sense. The Mexican government owns one of the world’s biggest oil companies. The oil and mining industries bring a lot of money into the country, but not a lot of jobs. More people work in tourism or farming. Corn, coffee, wheat, fruits, and vegetables are just some of what Mexicans grow and sell to earn a living. People in some areas don’t earn enough pesos to provide food or a home for their families.Mexico’s mixed economy is the second-largest economy in Latin America. Businesses in Mexico decide what to produce based on supply and demand in the market. Much of the nation’s land, factories, and businesses are privately owned. People are generally free to make most economic decisions for themselves.However, Mexico’s government does play an active role in the economy. It makes many laws to regulate and control production and the price of goods. High taxes and heavy regulations sometimes make it difficult for Mexican businesses to succeed. In addition, the government owns the nation’s oil industry, which is a leading source of income for Mexico. _ happens when nothing hinders or gets in the way of two nations trading with each other. Trade barriers Trade exceptions Free trade Fraudulent trade Match the term to its definition. embargo a block or ban on trade tariff a tax on imported goods quota a number limit on imports What happens with a tariff is placed on a product? The product is cheaper than the domestic product. The product is more expensive than the domestic product. There are fewer of a product available. None of that product will be available. A quota limits the number of a product that can be imported into a country. How does that kind of trade barrier help the home country's economy? The shortage of that product makes it more expensive, so consumers will tend to buy the domestic version of the product instead. The surplus of that product makes it more expensive, so consumers will tend to buy the domestic version of the product instead. The shortage of that product makes it less expensive, so consumers will tend to buy the domestic version of the product instead. Fill in the blanks. Be sure to reread the passage to make sure it makes sense. The Cuban government decides what is grown, sold, and made in the country. It also decides how much things cost and how much money everyone earns. Many Cubans earn money by working in the tourist industry. People come for Cuba’s beautiful beaches, music, and culture. Others earn money farming crops like sugarcane, tobacco, fruit, and coffee. The economy is also dependent on money that is sent home by Cubans living outside the country, especially by those living in the United States.Cuba has been a Communist country since 1959. Under Communist rule, Cuba has a strong command economy with only a few market elements. The government owns most of the country’s resources, including land, factories, and businesses. It plans the economy by deciding what goods and services to produce and what prices to charge. Most of Cuba’s workforce is employed by the government.Under such strict control, very few Cubans own private businesses. Without much competition among businesses, there is little innovation and fewer choices for consumers. Many Cubans lack access to modern conveniences, such as air conditioning, cell phones, new cars, and the Internet. What is the purpose of trade agreement like NAFTA and the US-Mexico-Canada Agreement? To punish countries who do things other countries don't like To reduce or remove barriers to trade and make trade easier To keep any country from having too much economic wealth Why do countries try to find products that they have the resources to produce quickly, cheaply, and in large amounts? Products that cost little to make in large quantities very quickly earn a country more money when they are sold. Products that cost a lot to make in large quantities very quickly earn a country more money when they are sold. Products that cost a lot to make in limited quantities very quickly earn a country more money when they are sold. What type of government do Mexico and Brazil have? Parliamentary democracy Dictatorship Presidential democracy Anarchy - no government Sort the facts into the correct categories. Parliamentary Democracy citizens elect legislative branch who then selects the prime minister None of our focus countries Presidential Democracy citizens elect both the legislative and the executive branches Mexico and Brazil