Question

compare and contrast a traditional economy and a command economy. make sure to address the three economic questions and provide an incentive for each​

Answer 1

Answer:
Development factors are what a society utilizes to generate products and services. Land, labor, capital and entrepreneurship are included in this. Land contains all the natural resources that humans, such as soil, trees, water and minerals, can use for company. Labor is work done without pay, which is what the workers of a corporation do. Capital contains the items required for products and services to be produced. It is possible to divide capital into two components: physical capital (buildings, equipment, instruments, etc and human capital (skills, experience, knowledge, etc.). The entrepreneur is the development element that puts together all the other products. Entrepreneurs are individuals who start companies and bring goods to market.

Answer 2

Sample Response:

A traditional economy has very little in common with a command economy, except that both provide the incentive of security for those who use them. Everything else regarding the two economic systems is different. In a traditional economy, people use traditional methods to produce goods that have been made in the past. They produce them for their communities and family members. If they happen to produce too much of something (i.e. if they have a surplus), they can use those goods to barter or trade with other communities. This provides stability for the people. A command economy functions in a different manner. In a command economy, the goods and services produced are determined by the government. They produce what the government feels is best. The people use government-owned lands and machinery to produce goods, and the government decides who can use the goods produced. In other words, the government has full control and makes all the decisions. A command economy can also provide economic equality.