Which of the following is a distinguishing feature of a command system?
A) Private ownership of all capital.
B) Central planning.
C) Heavy reliance on markets.
D) Widespread dispersion of economic power.

Question

Quizplus · Accepted Answer

Central planning is a distinguishing feature of a command system. In a command system, the government controls most economic decisions, including what goods and services are produced, how much they are sold for, and who produces them. Central planning is a key component of this control, as it enables the government to direct resources towards specific industries and projects according to their priorities. In contrast, market-based systems rely on the decisions of individual buyers and sellers to determine what products are produced and how much they are sold for. None of the other options listed, including private ownership of capital, widespread dispersion of economic power, or heavy reliance on markets, are defining features of command systems.

Which of the Following Is a Distinguishing Feature of a Command