Question

Which of the following is true of South Africa's and Nigeria's economy? Select all that apply: A.They are both pure command economies. B.They are both pure market economies. C.They are both mixed economies. D.The both have high unemployment. E.They both specialize in traditional economies. Which groups hold claim to Palestine? Select all ...

Answer 1

Answer:

A mixed economic system is a system that combines aspects of both capitalism and socialism. A mixed economic system protects private property and allows a level of economic freedom in the use of capital, but also allows for governments to interfere in economic activities in order to achieve social aims. According to neoclassical theory, mixed economies are less efficient than pure free markets, but proponents of government interventions argue that the base conditions required for efficiency in free markets, such as equal information and rational market participants, cannot be achieved in practical application.