The Four Main Economic Systems and Their Application in South Africa

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Introduction
An economic system is a manner of approach which is used at solving the three main questions which are: What goods and services should be produced and the amount? How much of the scarce resource should be utilised and how will the goods and services will produced? For whom should the diverse goods and services be produced for and where will the production take place? Economic systems don’t always work accordingly but often so vast and complicated but on the contrast its working out just so marvellously. The four main economic systems are: Traditional, Command, Market and Mixed
South Africa has come a long way since the days of apartheid, from being a country living within sanctions to evolving to a mixed economy. It has become too diverse that citizens are liberated into certain economic activities of their choice. Everyone is entitled to their own private freedom, combined with centralized with economic planning and government regulation.
Traditional Economy
The traditional system is based on ancient methods of solving the central economic questions. It is based on beliefs, customs and traditions which shape the goods and services. Individuals living in traditional economic systems tend to direct their activities toward meeting their own and their families basic needs, rather than generating a surplus and trading it for unnecessary consumer products. This is known as a subsistence economy. Although one would think of subsistence as the state of barely making a living laboriously, it is also an orientation which sees the act of meeting basic needs as sufficient in itself, rather than a mere step toward having enough resources to acquiring merchandise. Countries that evolve develop their economies past the traditional ...

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...ut none the less progress is being made and as compared to the past 20 years we do see a drastic change that is empowering the people. Working hard and empowering each other as country with the mixed economic system we can only get better just as the late
Nelson Mandela once sais “A fundamental concern for others in our individual abd community lives would go a long way in making the world a better place we so passionately dreamt of.”
Bibliography
Websites http://www.shmoop.com/economic-systems/types.htmlhttp://www.wisegeek.org/what-is-a-traditional-economy.htm http://www.ask.com/question/traditional-economic-system http://mg.co.za/article/2013-01-12-zuma-emphasis-mixed-economy-interventionist-state-and-development-plan http://www.britannica.com/EBchecked/topic/127708/command-economy
http://sitemaker.umich.edu/seminar.497.2010.southafrica/economy_and_security

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