ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -A mixed economic system is a system that combines aspects of both capitalism and socialism. A mixed economic system protects private property and allows a level of economic freedom in the use of capital, but also allows for governments to interfere in economic activities in order to achieve social aims.

Detailed explanation-2: -A market economy has freedom of choice and free enterprise. Private entrepreneurs are free to get and use resources and use them to produce goods and services. They are free to sell these goods and services in markets of their choice.

Detailed explanation-3: -Government support Private companies might neglect some industries that are essential or bring social welfare because of their low profitability. In a mixed economy, government intervention can support these key industries, such as education, defense, and aerospace, through subsidies or ownership.

Detailed explanation-4: -The U.S. economic system of free enterprise has five main principles: the freedom for individuals to choose businesses, the right to private property, profits as an incentive, competition, and consumer sovereignty. Economic Choice: In a free enterprise, consumers have the ability to choose who to transact with.

Detailed explanation-5: -Capitalism is often thought of as an economic system in which private actors own and control property in accord with their interests, and demand and supply freely set prices in markets in a way that can serve the best interests of society.