Answer:The economic system you are asking about is called a traditional economy1. A traditional economy is a system in which decisions on production and consumption of goods and services are based on customs, beliefs, rituals, and habits2. A traditional economy is an original economic system in which traditions, customs, and beliefs shape the goods and the services the economy produces, as well as the rules and manner of their distribution2. Countries that use this type of economic system are often rural and farm-based2. Some examples of traditional economies are the Inuit in Canada, the Maasai in Kenya, and the Amish in the United States3.
A traditional economy has some advantages, such as preserving cultural heritage, fostering social cohesion, and promoting environmental sustainability1. However, it also has some disadvantages, such as low productivity, limited innovation, lack of diversity, and vulnerability to external shocks1. A traditional economy is often contrasted with other types of economic systems, such as market economy, command economy, and mixed economy4.
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