Which situation is more likely to occur in a Market Economy than a Command Economy?(1 point)
Responses
a citizen designs a new game and opens a store to sell it
a citizen designs a new game and opens a store to sell it
people line up for scarce products.
people line up for scarce products.
the government controls all aspects of business
the government controls all aspects of business
government sets prices on good sold
a citizen designs a new game and opens a store to sell it
The situation that is more likely to occur in a Market Economy than a Command Economy is: a citizen designs a new game and opens a store to sell it.
The situation of a citizen designing a new game and opening a store to sell it is more likely to occur in a Market Economy than in a Command Economy. In a Market Economy, individuals have the freedom to start their own businesses and pursue entrepreneurial endeavors. They can create new products or services and sell them in the market, allowing for competition and innovation. In this scenario, a citizen has the opportunity to design a new game and open a store to sell it without government intervention or control.
To understand why this situation is more likely in a Market Economy, it's important to understand the basic differences between a Market Economy and a Command Economy. In a Market Economy, the allocation of resources and the production of goods and services are primarily determined by the forces of supply and demand. The government's role is limited, and businesses operate based on their own decisions and strategies. On the other hand, in a Command Economy, the government has the central authority and control over the allocation of resources, production, and distribution of goods and services.
In a Command Economy, the government controls all aspects of business, including the setting of prices and the allocation of resources. This centralized control limits the opportunities and freedom for individuals to start their own businesses or pursue entrepreneurial initiatives. It also leads to less competition and innovation since decisions are made by the government rather than being driven by market forces.
Therefore, in a Command Economy, it is less likely for a citizen to design a new game and open a store to sell it, as it would require government approval and involvement, which may not prioritize individual initiatives or market competition.