Economic Systems Essay

563 WordsFeb 20, 20123 Pages
In the world of economics, there are a handful of different types of economic systems available. The country must decide between each of these three choices, or a combination of them. The main types of economies are the market economy, the traditional economy, and the command economy. Each has their pros and cons, but some are more beneficial than others. In my eyes, the best type of economy is a market economy. Market economies are what many of us are familiar with, because it is what our economy is based upon. This type of economy has little to no government involvement with the economy, so it is up to the people and businessmen to run it. This is the main reason that this is the best type of economy; it has a high individual freedom. When the people have the power to run it, the producers are able to produce what the consumers want and need, leading to a very high degree of customer satisfaction. Consumers are able to purchase whatever they want, with their money. Another reason that this is the best type of economy is because no one is told exactly what to do. Producers are free to find the best types of production, to save money. Consumers can buy what they want, and anyone can get the job that they want if they are qualified, which isn’t limited to people. The decentralized decision making allows for a better, well rounded economy. This also allows the economy to change its direction at a normal pace – it isn’t very fast, but it also isn’t the slowest, either. For instance, if a new natural resource is found in a country, the economy could be based on the selling of that resource within a few weeks or months. One last reason that this economy is the best is that because this economy is essentially run by the people, the goods that are produced can be produced to a large group of people, not just specific classes. This leads to an

More about Economic Systems Essay

Open Document