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Which statement best describes a command economy?

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Which statement best describes a command economy?

The Government determines economic alternatives and makes most decisions statement best describes a command economy. Explanation: ‘Command economy’ is a construction the place a government primarily decides a state’s wealth and resources.

Why a command economy is dangerous?

Command economy advantages include low levels of inequality and unemployment, and the typical excellent changing profit as the primary incentive of manufacturing. Command economy disadvantages come with lack of festival and lack of potency.

Who does a command economy produce for?

In a command economy, the government controls primary sides of economic production. The executive decides the method of production and owns the industries that produce items and services for the general public. The government costs and produces items and products and services that it thinks advantages the folk.

What are the 4 sorts of economy?

Economic programs will also be categorized into four major varieties: traditional economies, command economies, mixed economies, and marketplace economies.

  • Traditional economic machine.
  • Command economic machine.
  • Market financial gadget.
  • Mixed gadget.

What is command economy definition?

Command economy, financial system in which the way of manufacturing are publicly owned and economic activity is managed by way of a central authority that assigns quantitative production targets and allots uncooked fabrics to productive enterprises. …

What are the main characteristics of a blended economy?

The following are the main characteristics of blended economy:

  • Co-existence of the Private and Public Sectors.
  • Existence of Joint Sector.
  • Regulation of Private Sector.
  • Planned Economy.
  • Private Property.
  • Provision of Social Security.
  • Motive of Business Concerns.
  • Reduction of Inequalities of Income and Wealth.

What is an example of a command economy?

What is a Command Economy? Cuba, North Korea, and the previous Soviet Union are examples of nations that have command economies, while China maintained a command economy for decades sooner than transitioning to a mixed economy that includes both communistic and capitalistic parts.

What are options of a traditional economy?

A traditional economy is a gadget that relies on customs, history, and time-honored ideals. Tradition guides financial selections akin to production and distribution. Societies with conventional economies rely on agriculture, fishing, hunting, collecting, or some aggregate of them. They use barter instead of money.

What is an instance of a type of command financial machine?

What are the 7 main financial targets?

National financial goals come with: potency, equity, economic freedom, full employment, financial enlargement, safety, and balance.

What are the six primary traits of a pure marketplace economy?

What are the six major characteristics of a natural market economy? Private property, pageant, benefit incentive, united role of presidency, freedom of endeavor, and freedom of selection.

What are 4 characteristics of a marketplace economy?

Brief explanations are given for these traits of the marketplace system: non-public property, freedom of undertaking and selection, the position of self-interest, competition, markets and costs, the reliance on era and capital items, specialization, use of money, and the active, but restricted position of government.

What are the important thing features of a marketplace?

Essential traits of a marketplace are as follows:

  • One commodity: ADVERTISEMENTS:
  • Area: In economics, marketplace does now not refer simplest to a fastened location.
  • Buyers and Sellers:
  • Perfect Competition:
  • Business dating between Buyers and Sellers:
  • Perfect Knowledge of the Market:
  • One Price:
  • Sound Monetary System: