Question

17. In which economic system, government interventions is minimum ? A. Market economy B. socialist economy C. Command economy D. Mixed economy​

Answer 1

Answer:

Government interventions are at a minimum in a A. Market Economy

Explanation:

In a pure market economy, market force are determined by price signals and consumer confidence. As such, the range to which government intervenes is very little, since all economic decisions are, for the most part, made by the citizens and business owners.

In a socialist economy, privatized businesses do exist but major decisions are still made by the government, and in some cases, the largest industries remain under state control.

In a command economy, government controls all market forces and is responsible for setting price and determining supply.

A mixed economy combines aspects of a market and command economy, where government does intervene to ensure certain standards and regulations are met, but keeps itself still semi-distanced from business affairs.

As such, the best answer is A.