Question

Describe the difference betwen a command economy and a tradional economy?

Answer 1

A command economy is where a central government makes majority economic decisions. Either the government or a collects owned land and the means of production. It doesn't rely on the laws of supply and dictates that which operates in a market economy. A command economy also ignores the customs that guide a traditional economy.

Answer 2

Answer: Command economies and traditional economies are quite different in the most important ways. In a command economy, a powerful government tells people how to answer fundamental economic questions. In a traditional economy, the government has no role in this process and people simply base their decisions on what has always been done.

Step-by-step explanation: