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Hw Wk 1

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Which economic system is best suited for handling a crisis of epic proportions (hurricane, flood, blizzard, forest fire, etc.)? Why?
When dealing with a crisis as serious as a hurricane, flood, blizzard etc. I believe that a free market is best suited for handling these issues. Free market is an economic system in which decisions about what to produce and the amount are decided by the markets buyers and sellers (Courtland, 2005). When something this devastating occurs, many businesses and resources are taken and destroyed. Private sectors are those who own and operate businesses which would eliminate some of the government’s role on repairing communities. The government could focus on aiding and assisting the economy for the better, for example, lending private sectors money to help regain their establishment.
The planned system, which the government has large control over resources and limited freedom of choice may not be best suited in this situation because I believe the public would be in fear of what might happen. Planned systems are solely based on what the government recommends, which might not be the best solution during a disaster because people have no choice but to wait on the government to take action. With a free market system we are able to have non-profit organization such as Red Cross or churches help aid and rebuild the communities. Free market system is more open to help where they can manage disasters with help from others rather than a planned market where the government is responsible for how to rebuild the economy.
Describe and explain why a socialist system might be the best in responding to the needs of people struck by an emergency situation like the earthquake that occurred in Haiti in January 2010.
The earthquake that occurred in Haiti back in 2010 was disastrous, leaving Haiti’s economy ruined. The socialist system is the best in...

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