Emergence Of Economic System Flashcards
What is an economic system
An economic system or economic order is a system or boxing resources of allocations and distributions of goods and services within society or a given geographic area
What are the four main types of economic system
1 traditional command market and mixed
The most basic of all economic types and in practicings ancient times the traditional financial system involves very divisions of labor and the words individual specializing and producing specific goods and very little in the way of economic governance
Traditional energy system
Low levels of inequality and unemployment and the command good replacing profits as the primary incentives of production
Advantages
Include lack of competitions and lack of efficiency
Disadvantages
A more advanced economic system compared to a traditional financial system involved planning from centralized point either a local government or indeed the national government as under communist rule
The command economic system
Is a system where the loss of supply and demand direct goods and services
The market economic system
Is an economic system combining private and public enterprises
Mixed economy
Traditional economic system are incapable of dealing with advanced requirements of development society but they are arguments for the against and the market and commands economies
The mix economic system
I mix economy permits private participations in productions which in return allowed welding competitions that can result in profit
Advantages of mixed economy
Is that they tend to learn more toward government control and less toward individual freedoms
The disadvantages of mixed economy
