Question

In Nigeria, people can open their own business, choose their careers and job paths, and can purchase a wide variety of goods. However, the national government places tariffs on imported goods, they have a significant share in the oil industry and they regulate much of the country's industry. Based on this description, Nigeria could BEST be categorized as which type of economy?

Answer 1

Answer:

Nigeria would be best categorized as a mixed economy.

Explanation:

A mixed economy is a system in which a country allows economic freedom and defends private property, but it also permits governmental interference in certain areas with the purpose of assisting in social matters. In a way, a mixed economy puts together characteristics of capitalism as well as socialism, or of market economies and planned economies. From the description in the question, we can easily conclude Nigeria is a mixed economy.