The Government determines economic choices and makes most decisions statement
best describes a command economy.
What describes a command economy?
A command economy is
where a central government makes all economic decisions
. Either the government or a collective owns the land and the means of production. It doesn’t rely on the laws of supply and demand that operate in a market economy.
Which of the following best describes a command economy quizlet?
Which statement best describes a command economy?
Government intervention in economic choices is strictly forbidden
. … Producers and consumers make some economic choices while the government makes others. The government determines economic choices and makes most decisions.
Which of the following economy is known as the command economy?
A command economy is a characteristic trait of
a communist country
. Countries like Cuba, China, and the previous USSR are practical examples of this command economy system.
Which of the following is a characteristic of a command economy?
Characteristics:
Government is in control of the pricing of goods and services
.
The government makes all decisions for finances in the country
, may even assign people the jobs. Since hourly rate of pay is regulated, just enough to survive on, people will tend to try and break the rules on the black market.
What is command and market economy?
Market economies utilize private ownership as the means of production and voluntary exchanges/contracts. In a command economy,
governments own the factors of production such as land, capital, and resources
. Most nations operate largely as a command or market economy but all include aspects of the other.
Why is China a command economy?
Since its establishment in 1949 and until the end of 1978, China maintained a centrally planned, or command, economy. … Because the
central planning economic systems and government economic policies put little emphasis on profitability or competition
, the country’s economy was relatively stagnant and inefficient.
Which best describes a mixed economy?
A mixed economy is
an economy organized with some free market elements and some socialistic elements
, which lies on a continuum somewhere between pure capitalism and pure socialism. … Mixed economies socialize select industries that are deemed essential or that produce public goods.
Which statement best describes the impact of scarcity?
Answer Expert Verified The best way to describe the impact of scarcity would be
when consumers must pay for higher prices for many items
. This is a situation where there are unlimited wants have fully exceeded all of the limited resources.
Which situation is the best example of competition in an economic system quizlet?
Which situation is the best example of competition in an economic system?
A small CD store slashed its prices to attract customers from a larger store that sells CDs and DVDs.
What can be found in market economy?
- Private Property.
- Economic Freedom.
- Consumer Sovereignty.
- Competition.
- Profit.
- Voluntary Exchange.
- Limited Government Involvement.
What are three types of economy?
There are three main types of economies:
free market, command, and mixed
.
What countries use command economy?
- Belarus.
- Cuba.
- Iran.
- Libya.
- North Korea.
- Russia.
What are 3 characteristics of a command economy?
A command economy has a small number of typical elements:
A central economic plan, government ownership of the means of production, and (supposed) social equality
are essential features of a command economy.
What are the positive characteristics of command economic system?
There are benefits and drawbacks to command economy structures. Command economy advantages include
low levels of inequality and unemployment
, and the common objective of replacing profit as the primary incentive of production. Command economy disadvantages include lack of competition and lack of efficiency.
What are 5 cons to a command economy?
- Command economies tend to limit personal freedoms. …
- There is a lack of innovation with command economies. …
- It reduces the number of options available to consumers. …
- Command economies create underground markets. …
- There is little competition within a command economy.
