Question

Two traditional economies are trying to industrialize. The leaders of the first favor a command economic system. The leaders of the second want to try more free market-based policies. Which of the following actions would likely occur in one but not the other industrializing economy?
A. Conversion of farmland from agriculture to industry

B. Export of surplus goods not consumed locally

C. Investment in loans to support independent start-ups

D. Payment of workforce based on units of production

Answer 1

the action that would likely occur in one but not the other industrializing economy is: C. Investment in loans to support independent start-ups When a government adopted a free-market system, all the fate of the businesses will fall situation in market condition. In this system, the Government is not allowed to make intervention that favor a specific business or bailing out the business that about to fail.