ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -As the name suggests a mixed economy is the golden combination of a command economy and a market economy. So it follows both price mechanism and central economic planning and oversight. The means of production are held by both private companies and public or State ownership.

Detailed explanation-2: -A mixed economic system has features of both a command and a free-market system. because it is partly controlled by the government and partly based on the forces of supply and demand.

Detailed explanation-3: -Alternatively, a mixed economy can refer to a reformist transitionary phase to a socialist economy that allows a substantial role for private enterprise and contracting within a dominant economic framework of public ownership.

Detailed explanation-4: -A mixed economy is a blend of market and command economies. In a mixed economy some parts or sectors of the economy are left to private ownership (market) while in other sectors there is substantial government ownership or government-directed production (command).

Detailed explanation-5: -A mixed economic system is a system that combines aspects of both capitalism and socialism.