The correct answer to this open question is the following.
Compare and Contrast How do the four different economic systems (traditional, command, market, and mixed) answer the basic economic questions:
What to produce?
In a traditional economy, people based their products on agricultural goods, Production of crops is the elemental way in the economy, and crops are traded. In a market economy, there are no limits on what to produce. The supply and demand of products dictate what is more profitable to produce.
In a command economy, it is the state that decides what needs to be produced. In a mixed economy, there is a combination of traditional, command, and market economies.
How to produce?
The methods of production in a traditional economy are very basic, we could say primitive. In a market economy, we have very industrialized and modern methods of mass production. In a command economy, is up to the state to decide the way products will be made. There is no private business, just the state owns the means of production.
And For whom to Produce?
In a traditional economy, products are aimed at the people who live in the village and have a simple life. Sometimes they still using bartering to exchange products and food.
In a market economy, goods are aimed at every single member of society because they represent a potential market or segment that can be attracted to many different products. In a command economy, the state produces what it considers necessary to its citizens, In a mixed economy, we have the combination of all three.
