Economic Systems Worksheet

Economic Systems

Read each question carefully and answer to the best of your ability. This worksheet covers traditional, command, market, and mixed economic systems.

1. In which economic system are economic decisions primarily based on custom and tradition?

2. Who makes most of the economic decisions in a command economy?

3. In a   economy, prices and production are largely determined by supply and demand.

4. Most countries today operate under a   economic system, combining elements of market and command economies.

5. The three basic economic questions are: What to produce, How to produce, and   to produce for.

6. In a market economy, the government owns most of the resources and businesses.

7. A traditional economy often relies on bartering rather than currency.

8. Briefly explain one advantage of a market economy.

9. Briefly explain one disadvantage of a command economy.

Match each economic system with its primary characteristic.