a free market economy自由市场经济.ppt

Topic ： The benefits and challenges of free market economy contrast a free market a free market economy 1. accelerate the rate of economic growth and modernization 2. create new patterns of consumption 3. enrich peoples life 1.economic growth and modernization Free Trade Zone 2.new patterns of consumption Alibaba was founded in 1999. It is the largest network company in China and the worlds second-biggest Internet companies Taobao: Founded in 2003 , the biggest retail network in Asia-Pacific area the business contains two parts:C2C and B2C ? 3.enrich peoples life Buyers are free to purchase any legal commodity which they like and in whatever amounts. The seller of a good or its producer can also produce whichever product they want to and also increase the capacity of any individual commodity depending upon the forces of the market. oversea friends? supermarkets online? Challenges 1.blind competition a. Enterprises make exorbitant profits through exploiting the employees, lowering their wages and lengthening the working hours. b. Money-oriented companies maximize their interests recklessly. 2.environmental problems 1. natural resources 2. pollution Fu-chun River 3.the aggravation of polarization of wealth. social issues 4.financial instability financial crises - banking panics, stock market crashes , the bursting of other financial bubbles, currency crises 1930s: The Great Depression Over-indebtedness and deflation. Cities all around the world were hit hard,especially those dependent on heavy industry. 2008: the Global Financial Crisis Financial regulation and Bank regulation Some financial crises have been blamed on insufficient regulation, and have led to changes in regulation in order to avoid a repeat. the former IMF chief : Dominique Strauss-Kahn How to develop sustainably ? 1. legislating to provent environment from being destoryed and protect the laborforces righ