BUSINESS ADMINISTRATION
BUSINESS ENVIRONMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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True
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False
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Detailed explanation-1: -Which statement is true about capital goods? They increase the production of goods.
Detailed explanation-2: -Communist countries operated on the premise that government officials were in the best position to allocate the economy’s scarce resources. These central planners decided what goods and services were produced, how much was produced, and who produced and consumed these goods and services.
Detailed explanation-3: -Mixed economies work to the degree that they embrace democracy. There is always some degree of government involvement in a mixed economy. Communist countries like North Korea and Cuba are examples of mixed economies.
Detailed explanation-4: -In a command economy, the government owns the factors of production; all decisions about land, labor, and capital are made by the state.