Economics Traditional Economy Questions
In a traditional economy, surplus and scarcity are typically handled through traditional methods and practices that have been passed down through generations.
When there is a surplus of goods or resources, the traditional economy may rely on bartering or trading to distribute the surplus among community members. This can help ensure that everyone has access to the surplus and prevent waste.
On the other hand, when there is scarcity, the traditional economy may prioritize the allocation of resources based on the needs of the community. This can involve sharing resources, rationing, or implementing traditional systems of distribution to ensure that everyone has access to essential goods and services.
Overall, in a traditional economy, surplus and scarcity are managed through communal cooperation, sharing, and adherence to established customs and traditions.