Which of the following economic goals is typically considered most important in a traditional economy?

• A. Innovation and technological advancement
• B. Stability and security
• C. Maximizing efficiency
• D. Economic growth

Answer: (B)

Verified step by step guidance

1. Step 1: Understand what a traditional economy is. A traditional economy is one that relies on customs, history, and time-honored beliefs. Economic decisions are often based on social roles and cultural practices rather than market forces or innovation.
2. Step 2: Identify the typical economic goals in different types of economies. For example, market economies often prioritize efficiency and growth, while command economies may focus on stability and security.
3. Step 3: Analyze the options given: Innovation and technological advancement, Stability and security, Maximizing efficiency, and Economic growth. Consider which goal aligns best with the characteristics of a traditional economy.
4. Step 4: Recognize that traditional economies prioritize maintaining established ways of life, which means they value stability and security over rapid change or growth.
5. Step 5: Conclude that among the options, 'Stability and security' is the economic goal most consistent with a traditional economy, as it emphasizes preserving social order and predictable economic outcomes.