Economic Vocabulary

by Raymond

Market Economy

The Market Economy is a economy in which decisions regarding investment ,production ,and distribution are based on supply and demand, and prices of goods and services are determined in a free price system. For example, Walmart is a market.

Command Economy

A Command Economy is an economy in which production, investment, prices, and incomes are determined centrally by a government. For example, Cuba is a command economy.

Traditional Economy

A Traditional Economy is an original economic system in which traditions, customs, customs and beliefs shape the goods and the products society creates. For example,