Nicholas Gunnell

Prof. Mitch Fisher

ECN 212
21 September 2015
Resource Allocation Methods: What Are We?
I will focus on the command, majority-rules, and contest system
of resource allocations. First, the command system, it is exactly what it
sounds like. Near to a dictatorship, the command system decides
where the resources go by one person or a small group of people in
power. Within the majority rules system, voters decided where the
resources will be moved to and where they would be most productive
and agreeable. This system is most effective when a large amount of
people of involved. The contest system relays all its resources to a
winner or champion that has worked hard. This is apparent in
sporting events and even within business itself. The U.S.A relies mostly
upon the majority system because we are based on a democracy
where everyone is involved. Since, everyone cannot vote on every
single matter, we have elected officials who represent our choices for
us.