ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Socialism meaning is that there’s a guarantee of equal opportunity for everyone and the necessities of men are provided by the state without any discrimination. In a socialist economy, there’s no competition in the market as the state has complete control over the means of production.

Detailed explanation-2: -In the other, socialism, the state owns the means of production, and state-owned enterprises seek to maximize social good rather than profits.

Detailed explanation-3: -Each economy functions based on a unique set of conditions and assumptions. Economic systems can be categorized into four main types: traditional economies, command economies, mixed economies, and market economies.

Detailed explanation-4: -In a command economy, the government (or some other central authority) controls and steers major aspects of economic production. The government decides the means of production and owns the industries that produce goods and services for the public.

Detailed explanation-5: -The command economy, also known as a planned economy, requires that a nation’s central government own and control the means of production. Private ownership of land and capital is nonexistent or severely limited.