Explain the differences between how a market economy and a mixed economy decide what to produce, how to produce it, and for whom to produce it
What will be an ideal response?
In a market economy, individuals and private firms make decisions about what to produce based on consumer needs and wants with no government involvement. Individuals and private firms determine production methods based on calculations of efficiency and profitability. Individual income ultimately controls purchasing decisions. In a mixed economy, individuals and private firms make decisions about what to produce, but the government is involved in providing services and regulating some aspects of conducting business. Individuals and private firms determine production methods, but may be influenced or regulated by the government. Government distributes some goods and services through social programs, but individual income informs most purchasing decisions.
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Venus, Inc. paid $12,000 on accounts payable. How does this transaction affect the accounting equation of Venus?
A) assets decrease by $12,000 and equity increases by $12,000 B) assets decrease by $12,000 and liabilities decrease by $12,000 C) assets increase by $12,000 and equity decreases by $12,000 D) assets increase by $12,000 and liabilities increase by $12,000
Procedures used to evaluate advertising and marketing should be developed prior to launching the campaign
Indicate whether the statement is true or false