In a centrally planned economy, a good that is important for society but not profitable

will never be producedCorrect answerYour answeris produced only if its price risesCorrect answerYour answeris left to private firmsCorrect answerYour answercan still be produced, because the authority decides on social welfareCorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer D

Correct answer: D

The central authority plans by what society needs, not by profit.
So it can choose to produce goods like vaccines even if they would not pay in a market.

Concept: Planning by social welfare
Typical timeTypical: 70 s
Your timeYours: —

The rule this testsEconomic systems; positive and normative

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In a centrally planned economy, a good that is important for society but not profitable

Explanation