The following statements describe a certain country's economy. What type of economy does this country have? I. Most citizens farm at the subsistence level. II. Citizens barter with each other for needed items. III. Doctors and professionals often accept food or other goods in exchange for services. A. a market economy B. a traditional economy C. a planned economy D. a mixed economy Please select the best answer from the choices provided. A B C D

B. a traditional economy

Explanation:A traditional economy is one which doesn't operate under a profit motive.

Instead, it emphasizes the trading and bartering of products and services that enable participants to subsist in a specific region, community and/or culture. Largely, traditional economies are a way of life in underdeveloped countries that rely more on old-fashioned economic models like farming or hunting than on newer-age modes like industry and technology.

B) a traditional economy

Explanation:

Traditional economies, or subsistence economies, are small economies based on trade or bartering for products and services. They are called traditional because most economies, including most rich countries, passed through that economic model before. E.g. vikings traded fish for butter with mainland Europeans.

This economic system is based on local values and customs, and is still present in some underdeveloped nations where large portions of the population still rely on subsistence farming, fishing and hunting to survive. Since the people involved in this type of activities generally lacks technological products, there is no consumer nor supplier surplus, since all production must be consumed, e.g. they do not have refrigerators to help them keep products fresh. Economic decisions are usually guided by the community's customs, and the traditional leaders generally set the barter rates.  

Obviously this type of economic system only exists in very poor countries that do not have developed manufacturing or service industries, and do not have a monetary system.

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