Different market economies

• What is a free market economy

  When economic decisions are primarily made by private individuals and firms.
• Advantages of Free market economy

  Efficiency, Consumer Choice, Economic Growth
• Disadvantages of Free market economies

  Inequality and Lack of Public Goods
• What is a command economy

  when the government or central authority makes all economic decisions.
• Advantages of command economies

  Equality, Stability, Prioritizing Social Goals
• Disadvantages of Command economies

  Lack of Incentives, Resource Misallocation, Bureaucracy
• What is a mixed economy

  when both the private sector and the government play significant roles in economic decision-making.
• Roles of a mixed economy

  Regulation, Public Goods and Services, Welfare and Redistribution and stabilization and Economic Planning