ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -For example, private enterprises and individuals own most of the factors of production in capitalism. However, collective good is the predominating principle in socialism. As such, factors of production, such as land and capital, are owned and regulated by the community as a whole under socialism.

Detailed explanation-2: -In a purely socialist economy, the collective owns and controls the means of production; personal property is allowed, but in the form of consumer goods.

Detailed explanation-3: -In a command economy, the government owns the factors of production; all decisions about land, labor, and capital are made by the state.

Detailed explanation-4: -According to various economists, households are the owners of the factors of production while the firms determine the factors to hire for the production of commodities. The households are believed to be the owners of the production factors because they lend or sell those factors to the firms when needed.

Detailed explanation-5: -Socialism is a political philosophy and movement encompassing a range of economic and social systems, which are characterised by social ownership of the means of production, as opposed to private ownership.