Question

what is difference in nature and function ?

Answer 1

The total of sum of patterns of behavior and institutions which organizes economic activity in a place is referred to economic system. Nature off economic is the effective study of resources, wealth and human behavior in economic community. production, allocation, distribution and regeneration are considered as the dour functions in economic systems or communities

Nature of economic system

For production and distribution several rules and regulations are there for every economic system. Rules and regulations are different for various economic systems. so freedom of business and doctrine of private property determine capitalism. And whereas socialism is in connection with socialization of means of production and also based on the organization of production for the gains of society. Birth, progress and decay are there in  every economic system. Different changes are observable as time changes. The basic features of system also changes.

Functions of economic system

providing solutions for basic problems of every economic community is the ultimate function of economic system. It includes to ensure a balance within supply and demand of goods and services, to find the needs of consumer and required quantity in production, supply of industrial and agricultural products for the community members, to assign resources under scarce between industries for the production of those goods and also to find the best production methods for better utilization of resources. every economic system carried out these functions.