| Economic System | Characteristics | Advantages | Disadvantages |
|---|---|---|---|
| Traditional Economy | Found in rural, under-developed countries, | Specific roles | technology is not used |
| Market Economy (Free Enterprise) | Decisions are made according to law of supply and demand | competition to have best products | huge rift between wealthy and poor |
| Command Economy | Government determines what, how , and whom to produce goods | Equal standard of living, less crime and poverty | minimal choices |
| Mixed Economy | combination of market and command economy | balance of needs and wants | citizens have to pay taxes |