Explain the difference between the use of tradition, authority, and a market system as allocators of scarce resources

Based on tradition, resources are usually distributed depending on established practices of the past. Tradition is considered the most controlling technique of resource allocation for the better part of human history. The technique still exists significantly in numerous tribal societies and small-scale villages.

Based on authority, resources are usually distributed depending on clear instructions from some significant authority. This means that goods and services should be produced based on how authority has ordered them to be produced.

Based on market systems, resources are usually allocated depending on consumers and the resources are normally distributed through price techniques, capital, and land.