Read the two statements and choose the correct option.
I. Every real economy is either purely market or purely centrally planned.
II. In a mixed economy, the government may produce some goods itself and regulate the market for others.

Only ICorrect answerYour answerOnly IICorrect answerYour answerBoth I and IICorrect answerYour answerNeither I nor IICorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer B

Correct answer: B

I is false: most real economies mix market and government decisions.
II is true: that combination of producing and regulating is what a mixed economy does.

Ten questions from Central Problems & the PPC, at your own pace.

Ten questions from Central Problems & the PPC, at your own pace.

Read the two statements and choose the correct option.I. Every real economy is either purely market or purely centrally planned.II. In a mixed economy, the government may produce some goods itself and regulate the market for others.