Economics Flashcards
1
Q
Command economy
A
A centralized authority (the government) makes all the major economic decisions.
2
Q
Market economy
A
Private companies, firms, and individuals run the economy through decisions.
3
Q
Mixed economy
A
Mixes command (government decides) economies and capitalists (e run by private companies ) economies.
4
Q
Traditional economy
A
An economy in which customs and traditions are more important than money.
