Types of Economies

Prices are determined by the government in this type of economy.

• Traditional

• Market

• Command

• Mixed

Prices for goods in this type of economy are determined by the law of supply and demand.

• Traditional

• Market

• Command

• Mixed

The government controls all aspects of this type of economy.

• Traditional

• Market

• Command

• Mixed

This type of economy relies on how things have always been done, when deciding what and how to produce things.

• Traditional

• Market

• Command

• Mixed

The internet, which allows people from all over the world to buy and sell in a completely decentralized network, is an example of this type of economy.

• Traditional

• Market

• Command

• Mixed

The economies of Cuba, North Korea, and the former Soviet Union are/were closest to this type of economy.

• Traditional

• Market

• Command

• Mixed

The United States (and, technically, every other country in the world) has this type of economy.

• Traditional

• Market

• Command

• Mixed

The government sets out basic rules for product safety, working conditions and wages but otherwise allows people to do what they want in this type of economy.

• Traditional

• Market

• Command

• Mixed

In some places decisions about what is to be produced and for whom it will be produced are made by individuals. Some individuals own the means of production and they and other individuals are consumers. Both producers and consumers are making choices about what to produce and what to consume. This is an example of what type of economy?

• Traditional

• Market

• Command

• Mixed

In a capitalist society, individuals and businesses invest money in various means of production - such as factories, machines, or land - in order to gain a profit. Pure capitalism is an example of what type of economy?

• Traditional

• Market

• Command

• Mixed