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katovenus [111]
3 years ago
15

ECONOMICS

Geography
1 answer:
puteri [66]3 years ago
5 0

Answer:

B) The government dictates which goods are produced and in what quantity.

Explanation:

The socialist economic system is a transitional one toward the communist economic system, the command economic system. While the socialist system is not as extreme as the communist one, the government still has the main role in the economy of the country.

The government is in charge when it comes to planning the whole economy. Practically, government officials plan who much, what, and in what manner should be produced, thus dictating directly the production, but also the choice for consumption among the people, as they will only have to choose from what the government wants them to.

In practice, this system has proven to be a big failure. In general, it seems that the socialist economy is able to function good for couple of decades, but after that is not able to sustain itself and rapidly falls down to a point of bankruptcy.

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