Economic Systems in Israel, Saudi Arabia and Turkey

SS7E5c- Compare and Contrast the economic systems in Israel, Saudi Arabia and Turkey.

Israel

• Has almost no natural resources.• Economy is based on advanced technology

and financial services• Israel has a large government ownership of

business but is gradually letting individual own the companies.

• The private part produces goods and services for domestic and international markets based on a market price system (individual decide).

Command Market

Israel

Saudi Arabia

• The country is rich in oil reserves and allows the country to buy goods it cannot produce.

• They are the world leader in oil production• The King and his advisors make most of the

decisions about how and where to use the oil profits.

• A lot of wealth has been invested in technologies.

• Over 95% of the oil industry in the country is operated by the government. Most other industries have major government involvement also.

• Since the 1980’s, the Saudi government has been trying to increase private ownership of businesses.

• 1/3 of Saudi Arabia GDP (wealth) is based on exports.

Command Market

IsraelSaudi Arabia

Turkey• For thousands of years traders have crossed

Turkey from Europe to Asia.• Turkey has a diversified economy with large

service, manufacturing, and agricultural industries.

• Since the 1980’s Turkey has slowly moved from a government directed economy to a more privately own.

• 1/5 of Turkey’s production is exported. The rest is consumed by domestic consumers and the government.

Command Market

IsraelSaudi Arabia

Turkey