Question

A mixed economy combines features of which two economic systems?

• A. Communism and Fascism
• B. Capitalism and Socialism
• C. Mercantilism and Feudalism
• D. Anarchism and Syndicalism

Answer 1

Answer:

B. Capitalism and Socialism

• Mixed Economy means: Co-existence of public and private sectors

• Capitalism represents the private sector (free market) while Socialism represents the public sector (government control), and a mixed economy combines elements of both these systems

• This is a fundamental concept in economics where a mixed economy tries to balance the efficiency of the market-driven capitalist system with the social welfare and equality goals of socialism.