DIRECTIONS: Determine whether each of the characteristics is a

DIRECTIONS: Determine whether each of the characteristics is a command economy, traditional economy, market economy, or mixed
economy. Write command, traditional, market, or mixed in the box.
Also called capitalist economies
Government and individuals share the responsibility
of answering the economic questions.
No competition between businesses
North Korea & Cuba are the closest to this
economy that exist today
Government guides and regulates the production of
goods and services offered
Business leaders and individuals answer the 3
economic questions
Businesses compete with each other to earn profits
Government set the price of goods and services
Customs, traditions, and social roles answer the 3
economic questions
There is little individual freedom
Technology is not used
Consumers have very few choices / limited variety
Profit motivates businesses to produce more not
Men and women have different and distinct roles in
the economy
Government determines your job
Laws of supply and demand guides decisions
Individuals or businesses own the “means of
The government answers the 3 economic questions
US and most western European nations are good
examples of this economic system
Competition determines prices
Usually found in undeveloped countries in Africa,
Asia, and South America
Factories are concerned with quotas not with
making money
Individual freedom is considered very important
Most effective economy
Protects consumers and workers from unfair policies
or unsafe products
Farming, hunting, gathering and traditional crafts
are main economic activities
** There are NO pure market, command, or traditional economies; every country in the world has a mixed economy **