Mixed Economy Essay

I. INTRODUCTION

The economic system is one of the ways where the governments manage the production, use and distributions need by society. This is because, economy is one of social research related on human behavior in use the limited resources or meet the unlimited human resources. In the economic system, there have a party’s act as institution (producer) and other be a human (consumer). This relation includes productive resources which are property and resources (raw sources). When demand of human unlimited, it will impact and give the problem to the economic such as type production needed, how to manufacture the product and who will manage the kind of resources. To solve problem, there have different approaches are uses depend on the economic

They work together. The industries in Private Sector are managed and operated completely by the Private entrepreneurs. As example private sector is IJM Corporation. The private entrepreneurs are fully free to develop their industries and to start new industries in this sector. On the other-hand there is Public Sector in which the enterprises are owned. Usually the basic industries like defense, equipment’s, atomic energy, telecommunication, heavy engineering etc. are allocated in the public sector where as the consumer goods industries, small and cottage industries, agriculture etc. are often given to the Private

Decisions of production, consumption and distribution are taken by invisible hand or the price system. Prices act as communicating or interacting devices. But in some cases the price mechanisms fail and or work against public interest. For example, the buyer are not able and not willing to spend the money to purchase the Durian King due to seller are put the price are been satisfy by the majority of consumer and the seller do not comply with the price mechanism operated by the