These days in the world of many different economic systems.In each of them there are a lot of positive and negative traits.But all is the ancestor of the traditional economic system.It is still used in some third world countries.But in the developed and developing countries, this system has long evolved into a more complex.
traditional economic system - is the situation in the country, which is characterized by high demand for manual labor.In the countries in which it is used, rather poorly developed various technologies.A major role is given to such industries as mining and primary processing.In these countries there is such a thing as multi-structural economy.This means that stored various economic forms, characterized by the collective conduct of all types of industries.That is, in countries where there is a traditional economic system, many small farms, which produce and then sell their own products.Such economies can also be distinguished by the presence of a huge number of craftsmen and farmers.To this transformation occurred in the economic system more perfect, you need an infusion of foreign capital.This is due to the fact that the level of entrepreneurship in the Third World countries is quite low.
in more backward countries of the traditional economic system is expressed in a simplified form.Various issues are resolved in accordance with the customs, caste or tribal traditions.In countries such big role religion.Representatives of the authorities in this case are the spiritual leaders.Economic life of the country can also control the feudal lords, chiefs, councils of elders.For example, if one tribe is engaged in agriculture, it is accustomed to position ourselves to this aspect of activity.Rather, for several more decades, this nation and will be engaged in agricultural activities.And none of the participants in this process would never ask the questions:
- it profitable to deal with the tribe only in agriculture?
- may be worth more to learn some kind of activity?
- Do I need to include any new technology in the production process?
Countries in which there is a traditional system, of course, is gradually developing.But the pace of change in the economy are so low that the introduction of, for example, new technologies, will take decades.And then, the data conversion will be caused by external influences.For example, the proposal to increase the productivity with the help of special machines.Thus, within the tribe can not occur any changes in the activity of all, if it will not affect the outside.An example of this may be the peoples of the Far North in Russia.They still live in the moment of the traditional system - hunting tribe.
Now traditional economic system is common in some countries in Africa and Asia.There are signs of it in developing countries.
In more developed countries, the question of national income distribution deals with the state.It is concentrated in its treasury budget allocates money for infrastructure development, social support for the poor.The government is also engaged in the decision and other key issues in the country.
If the country is committed to develop, it will not be able to maintain the traditional system.Gradually, the economy becomes more complex and sophisticated.No country in the history of mankind has not been able to maintain the old system.An example would be the collective property of the USSR.The government has tried for 70 years to maintain the traditional system, but we all know that this experience was a failure.And the Soviet Union has transformed its economic system to the market.
