Question

which of the following is an advantage of a centrally planned economy? A. it does not reward innovation. B. it sacrifices individual freedoms. C. it usually cannot meet consumers' needs and wants. D. it tries to meet explicitly stated goals.

Answer 1

Answer:

D. it tries to meet explicitly stated goals.

Explanation:

This is one of the advantages of a centrally planned economy. In a centrally planned economy, the government controls all of the economy and the markets. The main reason for this is the fact that the government wants to be able to meet explicitly stated goals. These goals are usually fulfilling the basic needs of people. Therefore, in a centrally planned economy that operates well, few people are unable to afford the basic items needed for their survival.

Answer 2

One advantage of a centrally planned economy is that it tries to meet explicitly stated goals (D).

A centrally planned economy is one run by the government. In a centrally planned economy prices are kept under control so that everyone can afford goods and services. Since the government aims to provide employment to everyone, it also means that there is lower unemployment than in other types of economies.