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Economic Systems Across Cultures
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Market Economy
An economic system where supply and demand determine prices. Examples include the United States and Singapore.
Socialist Economy
Characterized by social ownership and cooperative management of the means of production. Examples include Cuba and Bolivia.
Gig Economy
A free-market system where temporary positions are common and organizations hire independent workers for short-term commitments. An example includes the rise of platforms like Uber and Upwork.
Barter Economy
An economic system where goods and services are directly exchanged without using money. Historic examples include ancient communities before the advent of currency.
Gift Economy
A system where valuable goods and services are regularly given without any explicit agreement for immediate or future rewards. Example: Potlatch among Native Americans.
Green Economy
An economy that aims at reducing environmental risks and ecological scarcities. An example would be countries focusing on renewable energy and sustainable practices.
Mixed Economy
Features characteristics of both market and command economies. Examples include modern-day United Kingdom and Germany.
Reciprocity
A mutual exchange system practiced in small-scale societies. Example societies include the !Kung and Trobriand Islanders.
Feudal Economy
Based on the ownership of land by a ruling class and the labor of serfs. Examples from history include Medieval Europe and Japan during the Edo period.
Traditional Economy
Relies on customs, history, and time-honored beliefs. Examples include the Amish community and indigenous tribes.
Redistribution
A central authority collects goods or wealth and redistributes them. Examples include the Inca Empire and the kingdoms of Hawaii.
Command Economy
An economy where production, investment, prices, and incomes are determined by a government. Examples include North Korea and the former Soviet Union.
Informal Economy
Economic activities that are not monitored by the government and escape taxation. Examples include street vendors and unregistered businesses in many developing countries.
Solidarity Economy
Based on cooperative practices and mutual aid with a focus on social wellbeing over profit. Examples include cooperatives, fair trade organizations, and community-supported agriculture.
Digital Economy
An economy based on digital technologies, including electronic commerce and the internet. Examples include Silicon Valley tech companies and e-commerce giants like Amazon.
Cryptocurrency Economy
An emerging economy based on the use of decentralized digital assets like Bitcoin or Ethereum. Examples include emerging markets and communities focusing on blockchain technology.
Participatory Economy
An economic system where the production and distribution of goods are guided by public participation. Examples are hypothetical as this system is a proposal by economists like Robin Hahnel.
State Capitalism
An economic system in which the state undertakes commercial economic activity, and where the means of production are organized and managed as state-owned enterprises. Examples include China and the United Arab Emirates.
Circular Economy
An economic system that aims to minimize waste and make the most of resources. This approach is employed by companies which focus on sustainability and reuse.
Knowledge Economy
Based predominantly on knowledge-intensive activities that contribute to an accelerated pace of technical and scientific advancement. Examples include the Massachusetts Route 128 corridor and Silicon Valley.
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