Question

Under which economic system are business privately owned, with the possibility or profit?

Answer 1

Answer:

A market economy is the economic system where the businesses are privately owned, with the possibility of profit.

Explanation:

A is not correct because the traditional economy still has influnce by the government, and even if it strides to privatization, the changes in it are so slow that even decades would not lead to the total change of the economic system.

B is not correct because in the command economy everything is owned by the government and unions (like the ''zadruga''), where everything is controlled by the government.

C is not correct because under a communist system everything is owned by the government.

D is correct because the market economy is an economic system where every business is owned by the private sector, meaning that the people that own businesses are able to make their own decisions, and also it is up to them and their working as to how much profit they will obtain.