Economic systems
Definition
The organized methods a society uses to produce, distribute, and consume goods and services. The three main types are traditional, command (planned), and market economies, though most modern nations operate mixed economies combining elements of each.
Examples
- The United States operates a mixed/market economy with some government regulation
- North Korea uses a command economy where the government controls production
- Many indigenous communities historically relied on traditional economies based on custom and barter
Study This Concept
Practice economic systems with free review games in these units: