The Traditional Economy

Author: Charles Abbatantuono

Examples

  • The Inuits of Northern Canada
  • The Amish and Mennonites of North America
  • Several communities in Africa
  • Various poorer parts of the world, such as Southern Mexico and South America

Advantages

  • The Traditional economic system allows people to go "off the grid" you are simply a member of the community who provides a service
  • In this case, people can be held accountable for starvation or failure in the community
  • Job Security is a virtual non-factor as most people simply take up the family trade and continue to sell their service or product in the local marketplace
  • Money value is not an issue as traditionally the system relies on barter or "eye for an eye" instead of trading goods for money
  • Very little competition, as most people in this economy are the only ones who likely provide a particular service or good

Disadvantages

  • Traditional economies rely on the work ethic of the members of the society, if you have one weak link in a chain of production, the entire community has serious problems and is at serious risk of extinction
  • Members of the community are most of the time forced into their economic role and are not free to choose whatever trade or job they choose
  • Sharing of resources is sometimes difficult between rival families within a traditional community
  • Most traditional economies are in undeveloped areas of the world, so the basic resources needed like clean water and sanitation are rarely found in these areas

Answering the Three Basic Economic questions

\What will be produced?

  • Almost everything is produced, this includes food, shelter, clothing, and tools for better farming etc.

How will it be produced?

  • In most cases, the community comes together and produces all essential goods and services for themselves with each individual member of the community assigned a particular role for said service or good

For whom will it be produced?

  • Like I previously stated, the goods and services that are produced by the members of the community are subsequently consumed by the community, either the people that created the goods in the first place or the immediate members of the community looking to consumer that good or service

Visuals

Comment Stream

2 years ago
0

NIce videos and content.

2 years ago
0

Great content.....ALSO: Great that you put in a video too.

2 years ago
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Good example, its great that you put videos in.

2 years ago
0

The fonts and background go great with the theme; good comparison of the advantages and disadvantages; the only oddity is that there is a specific "Visuals" section, like you were trying to just tick off requirements for the assignment without making it work with the theme

2 years ago
0

The overall style matches your topic with many good examples and videos used as support.

2 years ago
0

I like the way you set up your website. The bullet points help to say the main points fast and still give a good amount of detail. Very nice.