Question

A system of economic organization in which the ownership and control of productive capital assets rests with the state and resources are allocated through central planning and political decision making is called: a. ​ a corporate economy. b. ​ a command economy. c. ​ capitalism. d. ​ a market economy.

Answer 1

Answer:

a command economy.

Explanation:

A command economy is where all economic decisions are made by a centralised government.

It is a system of economic organization in which the ownership and control of productive capital assets rests with the state and resources are allocated through central planning and political decision making.

It is a feature of a communist society.

Advantages of a command economy:

1. There is less inequality in the distribution of goods and services.

2. Maximising profit isn't the goal in a command economy. Therefore, goods are produced for the common good of all.

3. There are low levels of competition

Disadvantages of a command economy.

1. It discourages innovation

A market economy is where economic decisions are made by the forces of demand and supply.

I hope my answer helps you.