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Question : In a mixed economy

Option 1: all economic decisions are taken by the central authority.

Option 2: all economic decisions are taken by private entrepreneurs.

Option 3: economic decisions are partly taken by the state and partly by the private entrepreneurs.

Option 4: None of the above.


Team Careers360 25th Jan, 2024
Answer (1)
Team Careers360 26th Jan, 2024

Correct Answer: economic decisions are partly taken by the state and partly by the private entrepreneurs.


Solution : The correct answer is (c) economic decisions are partly taken by the state and partly by the private entrepreneurs.

A mixed economy is an economic system that combines elements of both capitalism and socialism. In a mixed economy, some resources and businesses are privately owned while others are owned by the government, and both free markets and government intervention play a role in economic decision-making.

In a mixed economy, economic decisions are made by both the state and private entrepreneurs. The state may intervene in the economy to regulate certain industries, provide public goods, or redistribute income. Private entrepreneurs make decisions about what to produce, how to produce it, and who to sell it to.

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