Four Structure of Economics

1.Traditional economies

2.Command economies

3.Mixed economies,

4.Market economies.

Charteristic of each structure

1.Traditional Economy - A traditional economy is a system that relies on customs, history, and time-
honored beliefs. Tradition guides economic decisions such as production and distribution. Traditional
economies depend on agriculture, fishing, hunting, gathering, or some combination of the above. They
use barter instead of money.

2.Command Economies- A command economy is where a central government makes all economic
decisions. Either the government or a collective owns the land and the means of production. It doesn't
rely on the laws of supply and demand that operate in a market economy. A command economy also
ignores the customs that guide a traditional economy.

3.Mixed Economies - A mixed economic system is a system that combines aspects of both capitalism and
socialism. A mixed economic system protects private property and allows a level of economic freedom
in the use of capital, but also allows for governments to interfere in economic activities in order to
achieve social aims.

4. Market Economies - A market economy functions under the laws of supply and demand. It is
characterized by private ownership, freedom of choice, self-interest, buying and selling platforms,
competition, and limited government intervention.

What is the nature of products of each market structure?

1.Traditional -The term “completeness” is used by economists to describe a traditional economy as one
in which all goods and services are consumed. Producing only what they need to survive, traditional
economies rarely produce a surplus of goods, thus further eliminating the need to trade or create
money.

2.Command -In a command economy, the central government dictates the level of production of goods
and controls their distribution and prices. Proponents of command economies argue government
control rather than private enterprise can ensure the fair distribution of goods and services.

3.Mixed - Mixed economies typically maintain private ownership and control of most of the means of
production, but often under government regulation. Mixed economies socialize select industries that are
deemed essential or that produce public goods.
4.Market -A market economy is an economic system where two forces, known as supply and demand,
direct the production of goods and services. Market economies are not controlled by a central authority
(like a government) and are instead based on voluntary exchange