This is so hard. Mom, think you know what traditional, market, command, and mixed economy is?
Sure son. Traditional economy is where its the people's decision to pick what to produce, how to produce, and for whom.
Command economy is where the government controls what is produced, how its produced, and for whom.
In market economy, what is produced is decided by supply and demand. How its produced is based on what's best for profit. And for whom they produce it for is the people.
Okay, but could you also tell me what are the economies of Israel, Turkey, and Saudi Arabia and their investment in Human Capital, capital gods, literacy rate, entrepreneurship, and the GDP
Israel is a mixed economy with more market than command. Tech sector, agriculture, and tourism industries get to choose what they produce but prices are determined by supply and demand. But the government is still able to charge taxes, controls electric, natural gas, and other industries. It also controls prices on basic food and banking services, and it owns most of the country's land
Mixed economy is the same, what is produced is based on supply and demand, how its produced is by what's best for profit and for whom is the people.
Saudi Arabia is investing billions per year into training programs and 6% of their GDP into education. They have a literacy rate of 94.7% and have already met capital needs thanks to oil sales. And they are still attempting to bring more entrepreneurs but are having difficulties by the regulations.
They have also invested into training programs and 4% of their GDP into college and are getting more foreign investors to increase capital investments. they also have a technology start-up sector to try and bring more entrepreneurs and a literacy rate of 95%.
Israel has also has invested much into job training programs and 6% of their GDP into education. They have also convinced foreign companies to make capital investments. They have a 99% literacy rate and even lots of start-up companies per capita so its great for entrepreneurs.
Even Saudi Arabia has a mixed with more market than command. Due to oil revenue, businesses and individuals pay low taxes but the monarchy is trying to diversify the economy and up the employment by growing the private sector. Private companies are asked a bigger role in healthcare, tourism, and education. The government though only lets private companies make little choices for production and price and it controls an oil industry covering 87% of it's budget.
Turkey also has a mixed economy with more market than command as well. Private companies active in key industries such as petrochemicals are able to decide how much they make, but prices are by the markets conditions. But like Israel, the government charges taxes, sets price on few agricultural items and electricity. Mining, banking, transportation industries are still state-run though and regulations are hard to deal with.