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Economic Systems


             Economic systems were make to help many countries leader make good decisions on natural and scarce resources, On deciding upon these source the leaders use these economic systems to help distribute the scare resources to the people of their own country. The leader that makes the decision on the sources must meet the needs and the wants of the people. Every economic system has their own different way of distributing these sources and it must be able to answer to these three questions what to produce, how to produce, and for whom to produce these things to. All economic systems must be able to answer these 3 basics question. Economic systems that answer those three important questions are communism and mercantilism too.
             Stalin the leader of the Soviet Union makes the economic system of communism. In the communism system Stalin makes the government had all control over the economy so the government make all the choices within the economic system. In this economic system he wanted it to produce heavy industry, improve the transportation, and increasing the farming output. He wanted to industrializes Soviet Union he believe he could so by having the government owned all business and allocated financial and other resources. Stalin decides to produce heavy metal to make an industrial growth, and wanted the increasing farm output. He make this planed called the Five Year Plan. Under the communism economic system he wanted all workers and managers to meet these goals by giving bonuses to those who succeeded and punish those who don't. Between the years of 1928 and 1939 large factories, hydroelectric power stations, and huge industrial rose all across of Soviet Union. And oil, coal, and steel production grew more. He makes the increasing farm output through making collectives to have many groups' peasants working on this huge piece of land. But even through the there were some surplus left.


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