What is one drawback of a command economy compared to a free market

economy?

O

A. A command economy requires companies to produce only cheap

consumer goods for poor citizens.

O

B. A command economy produces a small upper class that controls

all of the profits businesses produce.

O

C. A command economy promotes corruption by removing

government regulations on business.

O

D. A command economy reduces innovation by requiring all

businesses to follow government orders.

Question

Alannah Solomon

History

9 November, 10:36

What is one drawback of a command economy compared to a free market

economy?

O

A. A command economy requires companies to produce only cheap

consumer goods for poor citizens.

O

B. A command economy produces a small upper class that controls

all of the profits businesses produce.

O

C. A command economy promotes corruption by removing

government regulations on business.

O

D. A command economy reduces innovation by requiring all

businesses to follow government orders.

+5

Answers (2)

Know the Answer?

Zaid Meyers · Answer 1

The answer to your question is A.

Explanation:

Of course, the advantage of a command economy is that the strong government will make sure that public and merit goods are consumed at the right levels and that demerit goods are banned or taxed heavily. Unequal distribution of income. For many, this is the big disadvantage of a free market economy.

Evangeline Burns · Answer 2

D. A command economy reduces innovation by requiring all businesses to follow government orders.

Explanation:

a p e x