PDF Different types of economic systems
Different types of economic systems
What is an economic system?
? A country's economy or economic
system is that society's way of coordinating the production and consumption of goods and services.
What are the three basic questions of any economic system?
? What will be produced? ? How will it be produced? ? For whom will it be
produced?
What are the different goals of an economic system?
The way a society answers these questions will depend on what that society's values are. Here are some possibilities.
? Economic Freedom ? Economic Efficiency ? Economic Equity (or Fairness) ? Economic Growth ? Economic Security ? Economic Stability ? Environmental Sustainability
How would you rank these goals in importance (from 1-7))?
? Economic freedom ? Economic efficiency ? Economic equity (or fairness) ? Economic growth ? Economic security ? Economic stability ? Environmental sustainability
There are four basic types of economic system
? A traditional economy ? A market economy ? A command (or planned) economy ? A mixed (or hybrid) economy
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