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What is Mixed Economy | Types | Capitalist and Socialist Economy

 Mixed Economy Mixed economy is an economy which combines the element  of both the capitalist and socialist economies. It attempts to combine the best features of both capitalism and socialism while excluding the Demerits of Both.   Two types of Mixed Economy      1. Government does not directly undertake Production activity. This exists in most of the developed countries such as the USA, UK, etc.     2. Where Government not only Regulates the Private Sector, But also Participates in the Production activities.     Features of Mixed Economy Co - existence of Public and Private Sectors. Features of both Capitalism and Socialism. Government regulates and controls the Private Sectors. Price mechanism Profit Motive. Capitalist Economy   In Capitalist  form of economic system the means of Production and Distribution are Privately own,  and Production is guided Largely through Operation of markets.    ...
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What is Liberalisation, Privatization, Globalization | Definition and Process

 Liberalization Freeing economy from Government Controls, Regulations. Private Sector Grow Faster if it is Liberated.   Process of Liberalization The end of License Raj. Freedom from Government clearance. Freedom to public sector to access the capital market. corporatisation of Public sector Units. Freedom to corporate to buy back shares. Increase in the environment ceiling of small- scale Enterprice. Liberal tax structures for select sectors. Permission to banks to enter insurance sector. Relaxation in administered price mechanism. Freedom to transfer license and assets. Removal of restrictions to move Products. simplified and rational tax structure Tax exemptions, concessions and holidays especially for new ventures. Privatization Privatization Occurs when a government owned Business or Property becomes owned by a Private, non- Government Party.   Process of Privatization  Selling Equity Decentralization of Nationalised Equity ( Enterprices ) Giving Franchise Royal...
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Location: Shamli, Uttar Pradesh 247776, India
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Conciliatory and Judicial Role of Government

 Conciliatory and Judicial Role of Government  The important essentials of Socialism are that all great industries of the land should be Publicly or Collectively owned and they should be Conducted ( in conformity with a national economic Plan ) for common Good instead of Private Profit.  Open Economy  The concept of Open Economy is based on the Philosophy of Faith in the Market forces and Freedom of economic Enterprise. The changing economic face of world necessitates that India keep Pace with the changing Trends. The role of the Government was to Provide a judicial and legal system for the growth of free Enterprises. The Step forward liberalization, Privatization and globalization highlight the Conciliatory and Judicial role of the Government. The three Principles -  Liberalization , Privatization, Globalization Liberalization Freeing Economy form Government controls, regulations. Private sector grow faster if it is liberated. Privatization Privatization Occurs...
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Location: Shamli, Uttar Pradesh 247776, India
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Merits and Demerits of Capitalist Economy

 Merits of Capitalist Economy Incentive of Work Efficient use of resources ( Resource are always limited ) Flexibility and Adaptability Automatic Working Economic Freedom - No Restriction and Consumption and Production. Increase in Production and Standard of Living. Demerits of  Capitalist Economy  Inequality of Income Class Conflict Economic Instability Economic Waste What is Capitalist Economy In Capitalist  form of economic system the means of Production and Distribution are Privately own,  and Production is guided Largely through Operation of markets .     The ideology of Capitalism was expressed in Adam Smith's wealth of Nations   ( 1776 ) and Smith's Free - market theories were widely accepted in the 19th century. It is Prevalent in many countries, Viz, the USA, U.k, France, Japan, Australia and the most of the countries in western Europe.   To Know about Feature of Capitalist  Economy  CLICK -   https://technic...
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What is Capitalist Economy | Features of Capitalism

 Capitalist Economy In Capitalist  form of economic system the means of Production and Distribution are Privately own,  and Production is guided Largely through Operation of markets .     The ideology of Capitalism was expressed in Adam Smith's wealth of Nations   ( 1776 ) and Smith's Free - market theories were widely accepted in the 19th century. It is Prevalent in many countries, Viz, the USA, U.k, France, Japan, Australia and the most of the countries in western Europe.   Features of Capitalism Free Private Enterprises : Free Economic Liberty             ➡ Right to own Property ( Land, Machinery, etc. ) Freedom of Consumption and Production  Market Mechanism              ➡ There is No Government Intervention to fixed a Price at a Particular rate.              ➡ Price are automatically F...
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Location: Shamli, Uttar Pradesh 247776, India
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Directive Principle of State Policy ( DPSP )

 Directive Principles of State Policy ( DPSP ) Directive Principles Pertaining to economy :  To Promote the welfare of all the People.          ➡ To minimize the inequalities of  income.           ➡  To eliminate inequalities among individuals and group.           ➡  To Secure adequate means of  livelihood for all citizens.           ➡  To ensure Distribution of material Resources of common good.           ➡  To ensure equal pay for equal work for both men and women.            ➡   To ensure health and Strenght of workers.           ➡   To Provide Equal opportunities to all citizens.           ➡   To Provide access to legal justice to all citizens.           ➡   To ensure light to w...
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Location: Shamli, Uttar Pradesh 247776, India
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Salient Provisions Of the Indian Constitution Pertaining to Business and Economy | Indian Constitution and Business

 Indian Constitution and Business India's Economy Draws its Sustenance from the Provisions of Indian Constitution. The Socio- Economic Objectives are clearly enshrined in the Preamble to the Constitution, Fundamental Rights and Directive Principles Of State policy.  Fundamental Rights Right to Equality Right to Freedom Right against Exploitation Cultural and educational Rights Right to Constitutional Remedies    Note - The Right to Property is no Longer a Fundamental right; it has been retained as a constitutional Rights. The Following are the Salient Provisions of the Constitution Pertaining to Business and Economy. Salient Provisions Of the Indian Constitution Pertaining to Business and Economy Changing Profile to Indian Economy : The Government Embraced the twin Principles of the Socialist Philosophy and political Democracy as an Ideal model for the emerging Independent India. The economic Policies From 1950 + 1970 were based on this model.       ...
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Location: Shamli, Uttar Pradesh 247776, India
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What is Mixed Economy | Types | Capitalist and Socialist Economy

 Mixed Economy Mixed economy is an economy which combines the element  of both the capitalist and socialist economies. It attempts to combine the best features of both capitalism and socialism while excluding the Demerits of Both.   Two types of Mixed Economy      1. Government does not directly undertake Production activity. This exists in most of the developed countries such as the USA, UK, etc.     2. Where Government not only Regulates the Private Sector, But also Participates in the Production activities.     Features of Mixed Economy Co - existence of Public and Private Sectors. Features of both Capitalism and Socialism. Government regulates and controls the Private Sectors. Price mechanism Profit Motive. Capitalist Economy   In Capitalist  form of economic system the means of Production and Distribution are Privately own,  and Production is guided Largely through Operation of markets.    ...
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What is economic environment

 Economic Environment A company must work within the economic framework of the country. The economic framework is the level of income in the country, the external conditions that affect the economy, and the economic Policies that affect the economy . The economic environment affects the way business operates. Two Types Of Economics Environment Macroeconomic environment Microeconomic environment Macro factors include: Employment/unemployment Income Inflation Interest rates Tax rates Currency exchange rate Saving rates Consumer confidence levels Recessions Micro factors include: The size of the available market Demand for the company’s products or services Competition Availability and quality of suppliers The reliability of the company’s distribution chain (i.e., how it gets products to customers) While companies often can’t control their economic environment, they can evaluate economic conditions before choosing to enter a particular market or industry or pursue other strategies...
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What is Aggregate Demand

 Aggregate Demand AD( Aggregate Demand ) is the total Demand for Final goods and services in the economy at a given time and Price level.  This is the demand for Gross Domestic Product of a company. AD = C+I+G+( X-M ) Where,           C = Consumer Expenditure on Goods and Services           I =  Capital Investment           G = Government Spending           X = Exports of the Goods and Services           M = Imports of the Goods and Services           X - M = Net Export 
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