Macroeconomics Assignment

1. According to Adam Smith or Karl Marx, what should the role of the government be in terms of the economy? Identify and explain three key points from the perspective of Smith or Marx. Do you agree or disagree? Provide three reasons to support your answer.

2. List and explain three reasons why national economies which have a market economic system tend to be more successful and prosperous than national economies which have a command economic system. Be specific in your answer.

3. Identify one national economy that has an economic system that is either command or market based. Provide three reasons from the online Index of Economic Freedom to support your answer.

4. List and discuss the four most important features of a market economy that help businesses and entrepreneurship to flourish. Be sure to provide explanations for each feature to support your answer.

5. What does Hazlitt mean of Economics in One Lesson when he says that this variation on the broken window fallacy confuses need with demand? What does effective economic demand require?