Question

Which of the following statements apply to Socialism?

1. It promotes collective ownership of some or all of the means of production
2. Wealth and income are distributed more equally among citizens
3. The government plays a minimal role in economic affairs
4. There is a focus on individual property rights.

• A. 2 only
• B. 1, 2
• C. All
• D. 1, 3

Answer 1

Answer:

B. 1, 2

Socialism

• Socialism is an economic and political ideology that advocates for collective or public ownership and control of the means of production, distribution, and exchange.
• Unlike capitalism, where private individuals or corporations own and operate businesses, socialism aims to place these key economic assets under the ownership and management of society as a whole or the state.
• Socialism aims to reduce income and wealth inequality by redistributing resources and implementing policies that ensure a more equitable distribution of wealth.
•  Socialism typically involves a more active role for the government in economic planning and resource allocation compared to capitalism.
• The government often plays a significant role in managing certain industries or sectors.