The main characteristics of traditional economies are:
- Production and distribution of goods and services are based on customs, traditions, beliefs, and culture rather than market forces.
- The economy is family-centric and community-oriented, with social support and community activities being fundamental.
- Primitive occupations like farming, hunting, fishing, herding, and gathering are the primary economic activities.
- The economy is self-sufficient, with the community producing enough goods and services to fulfill its own needs.
- Trade is minimal, and the barter system is commonly used for exchange of goods and services.
- Economic decisions are made by elders or leaders based on tradition and customs.
- There is minimal waste as the community consumes what it produces.
