In a command system:
A) Self-interest motivates and commands each business firm's decisions and actions
B) The head of each family decides what to do with the family's resources
C) The government makes production and allocation decisions
D) Market traders command what outputs are produced and how they are allocated

Question

Quizplus · Accepted Answer

In a command system, the government makes production and allocation decisions. The other options do not accurately describe a command system. A) Self-interest motivates decisions in a market economy, B) decision-making in families is not relevant to economic systems, and D) market traders do not command production or allocate resources in a command system.

In a Command System