Answer to Question #171290 in Economics for sdgdfgfg

Question

Economic Systems Essay

Compare and contrast the ways in which traditional, market, and command economies answer the three major economic questions.

Your essay should be structured around the three economic questions, and explain how each system answers those questions. 

Structure:

1. Introduction.

2. What to produce? 

3. How to produce?

4. For whom to produce?

5. Conclusion.

In each paragraph talk about how the economic systems answer the questions. You can create exmples to make your point. 

Answer 1

Traditional market economy answers the three economic questions by allocating resources and goods through markets, where prices are generated.

But a command economy answers the three economic questions by making allocation decisions centrally by the government.