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Transition Economies

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Have a little read: ... Transition Economies There have been always different economics systems all over the world. Countries can be either free-market economies or command-planned economies. There are not pure free-market or command-planned economies in the world, only a few. These are just paradigms and most countries are mixed economies, economies with characteristics from the two extreme economic systems. The differences between the two economic systems are huge therefore if a country tried to transform itself from one system to another, some problems will be induced. An economic systems main function is to answer and solve the basic economic problem, resources in the world are scarce but wants are infinite. Resources will have to be allocated. Governments must figure out what to produce, how to produce it and for whom to produce. In an economic system there are different players each with a responsibility to the system. Each player's function in a command- planned economy

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