1. Economic Systems

2. Types of Economic Systems
Free Enterprise (Market) – an economy that allows business owners to compete in the market with little government interference. The means of production are mostly privately owned and operated for a profit.
Command – The government makes decisions about what to produce, who can buy and sell goods and what price they are sold at.
Traditional (Subsistence) – system in which traditions, customs, and beliefs shape the goods and the products the society creates. Countries that use this type of economic system are often rural and farm-based.

3. Command Economy
Profits
Demands
Profits

4. Traditional
Economy

5. Market
Economy
Trade
Trade