ECONOMICS
ECONOMIC SYSTEMS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Traditional
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Command
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Capitalism/Market
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Mixed
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Detailed explanation-1: -Disadvantages of command economies include lack of competition, which can lead to lack of innovation, and lack of efficiency.
Detailed explanation-2: -Both have a strong central government that controls businesses. What is a DISADVANTAGE of a market economy compared with a command economy? Market economies create a huge gap between the wealthy and the poor.
Detailed explanation-3: -What Is a Command Economy? A command economy is a key aspect of a political system in which a central governmental authority dictates the levels of production that are permissible and the prices that may be charged for goods and services. Most industries are publicly owned.
Detailed explanation-4: -Creates scarcity due to an inability to plan for individual needs. Forces government rationing due to inability to calculate demand on set prices. Eliminates market competition, resulting in a lack of innovation and advancement. More items •22-Feb-2021