What is meant by "economic system"?

The term "economic system" refers to the structured way that a society organizes the production and distribution of goods and services. This encompasses how resources are allocated, how businesses operate, and how consumers interact with the market. An economic system outlines the frameworks and methodologies a society uses to manage its economic activities, including what goods to produce, how to produce them, and who receives the products.

In this context, the answer related to the methods used by a society to produce and distribute resources is most appropriate because it captures the essence of an economic system. It emphasizes the various strategies and processes employed to ensure that resources are effectively utilized to meet the needs and wants of the population while considering factors like efficiency, sustainability, and equity.