What is a traditional economic system?

World Economic Systems Questions



80 Short 69 Medium 80 Long Answer Questions Question Index

What is a traditional economic system?

A traditional economic system is a system where economic decisions are based on customs, traditions, and beliefs that have been passed down through generations. In this system, individuals and communities rely on agriculture, hunting, fishing, and gathering to meet their basic needs. Economic activities are often centered around subsistence farming and bartering, with little to no use of modern technology or monetary exchange. The allocation of resources and distribution of goods and services are determined by social customs and cultural norms rather than market forces or government intervention.