Students, today we will begin our unit on economy and we will do so by discussing a few economy terms. Listed below are your terms that we will be discussing in class today.

• Producer – The person or business that is producing the good or service that is being purchased.
• Consumer – The person that is purchasing the good or service.
• Gross Domestic Product (GDP) – Refers to the market value of all goods and services produced in a country in a given period.
• Command Economy – An economic system in which production and price are regulated by the government.
• Market Economy – An economic system in which production and distribution of goods and services take place through free markets guided by a free price system.
• Traditional Economy – Economic systems that pertain in societies with extensive subsistence agriculture. The term may also be used for any economy that falls outside of popular notions of market and command economies.