***There are (3) basic types of Economic systems.***
*Traditions, customs, beliefs
"Subsistence economy" or "economy of the Ingenious population.
*Barter and trading systems.
*Process of production and distribution system.
*Needs of each households.
*Prehistoric instruments and techniques.
*Primitive human occupations.
*Surplus food productions.
*Economy directed by the government.
*All means of production (land, labor, capital) are state owned and controlled.
*The government makes all economics choices of what to produce, how to produce, how to distribute.
*All means of production (land, labor ,capital) are state owned and controlled.
*The government makes an economic choices of what to produce, how to produce, how to distribute.
*In a Market economy, consumers are in charge and make economic decisions by spending money on goods and services they need/want.
*In a Market economy, national and state governments play a minor role.
*Consumers and their buying decisions drive the economy.
*The assumptions or the Market play a major role in deciding the right path for a country's economic developments.