1. Economic Systems

2. Label 4 flaps on the front:
Traditional
Label 4 flaps on the front:
Market
Command
Mixed

3. Traditional
An economy in which economic decisions are based on the past.
Jobs are hereditary (passed down through family)
Use a barter system rather than currency

4. Market
An economy in which economic decisions are made by the people (consumers and producers)
Prices are based on supply and demand
Currency (money) is used for buying and selling

5. Command economy
An economic system in which economic decisions are made by the government
The government sets prices
The government controls what job you have and how much you are paid
The government owns all resources and means of production (i.e. land, natural resources, businesses, factories, etc.)

6. Command Economy + Market Economy
Mixed economy
An economy that is a MIX of command and market
Some decisions made by producers/consumers, some decisions made by the government
Command Economy + Market Economy
= Mixed Economy