I'm no expert.
The political compass shows a 2 dimensional rather than a 1 dimensional image of politics. They show economic views as left/right being communism to neo-liberalism and add another axis for authoritarian/libertarian being fascism to anarchism.
Check the link if you want to know more.
As to me, I'm anti big business, anti union, anti unfettered market free marketeer with a hang um and flog um attitude to criminals but legalize drugs/smoking etc but not near me. Or to put it another way I don't like people interfering with my life and have no interest in how you live yours until it annoys me. I think I confused the test at political compass.