Answer to Question #232122 in Economics for CCW

Question

Traditional Economic System:

Read the following paragraph and answer the questions below

1. Who controls factors of production?
2. Describe using vocabulary words from paragraph
3. Where might you find this system in world today?

Link: https://drive.google.com/file/d/1sjS2yoJMMtzPEqIM3mvbrL0iovSBm3qh/view?usp=drivesdk

Answer 1

The traditional economic system is based on traditions passed down from generation to generation. Traditions and customs determine production technologies, types of goods, and services produced. The economic role of each member of society is dominated by heredity and caste. Modern technologies and innovations are not applied, manual labor is widely used. Currently, the traditional economy is found in a small number of developing countries.