1. An overview of economic systems: contrast traditional, command and market economies. What countries are considered economically free

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1.An overview of economic systems: contrast traditional, command and market economies. What countries are considered economically free?Cavab: An economic system is a means by which societies or governments organize and distribute available resources, services, and goods across a geographic region or country. Economic systems regulate the factors of production, including land, capital, labor, and physical resources. An economic system encompasses many institutions, agencies, entities, decision-making processes, and patterns of consumption that comprise the economic structure of a given community. The traditional economic system is based on goods, services, and work, all of which follow certain established trends. It relies a lot on people, and there is very little division of labor or specialization. In essence, the traditional economy is very basic and the most ancient of the four types. In a command system, there is a dominant centralized authority – usually the government – that controls a significant portion of the economic structure. Also known as a planned system, the command economic system is common in communist societies since production decisions are the preserve of the government. Market economic systems are based on the concept of free markets. In other words, there is very little government interference. The government exercises little control over resources, and it does not interfere with important segments of the economy. Instead, regulation comes from the people and the relationship between supply and demand.
2.Suppose the price of apple decreases by 4% and apple producers reduce the quantity of apple supplied by 20%. Calculate the price elasticity of supply.
3.Company X does not sell product A to a buyer who does not buy product B. What is this type of sale called and what type of market is it specific to?
4.Suppose that Sony's R&D investment in digital devices has increased profits by 20%. Is this a private or social benefit?
5.Identify and evaluate various forms of government and social insurance. Which types of insurance do you know in Azerbaijan?Cavab: