At breakfast this morning Jane ate a banana. %0D%0A%0D%0AExplain how that banana would have come to exist and get to Jane’s breakfast table in each of the four economic systems that you learned about in Unit 2 of this course. (8 points)
In each of the four economic systems, the existence and journey of the banana to Jane's breakfast table would be explained as follows:
1. Traditional economy: In a traditional economy, the banana would have come to exist through traditional farming methods passed down through generations. Local farmers would have grown the banana using traditional knowledge and techniques. The production would have been small-scale and based on subsistence farming. The banana would have been sourced from a local community or backyard garden, where the farmer would have nurtured and harvested it. Then, it would have made its way to Jane's breakfast table through a local market or a direct exchange between the farmer and Jane.
2. Command economy: In a command economy, the banana's existence would be a result of a central authority's planning and control. The government or a central agency would have determined the need for bananas and allocated resources to produce them. Large-scale banana plantations owned by the state or state-controlled enterprises would cultivate the banana using scientific methods and techniques. The bananas would have been harvested and transported by government-operated entities, ensuring the supply chain was managed efficiently. Jane would receive the banana as part of a food distribution system, like a state-owned grocery store or a predetermined food ration.
3. Market economy: In a market economy, the banana's existence and journey would be driven by the forces of supply and demand. Private individuals or companies driven by profit motives would have grown the banana. Private farmers or companies specializing in agriculture would have planted, grown, and harvested the banana using modern farming techniques. Afterward, it would be sold to a distributor or wholesaler who would then sell it to a retailer. Jane would purchase the banana from a local grocery store, where it would have been made available to her due to the competition and choice available in the market.
4. Mixed economy: In a mixed economy, a combination of private and public entities contribute to the existence and journey of the banana. Private farmers or companies would have produced the banana using various methods, including both traditional and modern techniques. The banana would have been distributed through private channels, such as local markets and supermarkets, as well as public channels, such as government-operated stores or food assistance programs. The banana's availability to Jane would depend on her choice of purchase, either from a privately-owned store or a public facility. The mixed economy allows for a balance of market forces and government intervention to ensure the availability of goods like bananas to the population.