Busn115 Week 1 Homework

Homework ES – Week1

1. No one can predict a natural disaster or world crisis. When a hurricane or flood or a pandemic strikes a country, who is most likely to respond first? Which economic system is the best solution to handling a crisis of epic proportion?

No one can predict a natural disaster indeed. It is to my knowledge the first to respond when a crisis hits is the local government. If a pandemic strikes a country the health department would be the first to respond along with the mayor or if in extreme cases the president. If it’s a natural disaster the first to respond it’s the Emergency Management Agencies.

I believe the best economic solution to handling this type of crisis would be communism where the government can share everything with you. The problem here is they always charge you instead of “sharing;” Which is where supply and demand comes in. Some governments raises the price of their goods this is when new suppliers enter the market, this is when all governments should stick together form a market and lower prices, to create an equilibrium price.

=

2. What advantages might a socialist system have in responding to the needs of people struck by an emergency situation like the earthquake that occurred in Haiti in January, 2010?

When these disasters occur the system of social organization advocates the vesting of the ownership and control of the means of production, of capital, land etc., in the community as a whole. Like I mentioned before there are battles between communities, businesses, government officials, etc., for control or ownership of the country or land in crisis.

I believe the system tries to respond to the needs of the people stuck by this emergency situation, by having found raisers, and sending doctors and we realize that when in crisis people do come together. They had advertisements and the whole “text Haiti” and they’ll receive money. I think that commercials take advantage of the situation and the desperation of the people in...