Types of Economies

Buyers and sellers compete amongst each other, allowing market to set prices

• Market

• mixed market

• traditional

• command

Competition is limited and controlled by the government

• market

• mixed market

• traditional

• command

Individual buyers and sellers own resources and receive profits (gov't) get taxes

• market

• mixed market

• command

• traditional

government owns the resources and attempts to distribute profits evenly

• market

• mixed market

• command

• traditional

people are free to make most decisions (what business to own, where to work, what to sell, etc)

• command

• market

• mixed market

• traditional

enterprise controlled by government , very little personal freedom; black markets (illegal) exist)

• market

• mixed market

• traditional

• command

people have a wide variety of choices but are limited by their own personal resources

• market

• mixed market

• command

• traditional

Choice is limited to what government decides and what black markets allow

• market

• mixed market

• command

• traditional

Role of government is limited

• market

• mixed market

• traditional

• command

government is very involved, sets prices, distributes profits, makes major business decisions

• mixed

• traditional

• command