Pure capitalism and a pure command system represent:
A)two different ways of answering the basic economic questions.
B)two names describing the same method of answering the basic economic questions.
C)the only two ways of answering the basic economic questions.
D)the most efficient ways to answer the basic economic questions.
E)two market systems of resource distribution.

Question

Quizplus · Accepted Answer

Pure capitalism and pure command system are two opposite ways of answering the basic economic questions. Pure capitalism relies on market forces and private property rights to allocate resources, while a pure command system relies on a central planning authority to make decisions regarding resource allocation. Both systems have their advantages and disadvantages, and most economies in the world today operate somewhere in between these two extremes, using elements of both market and command systems.

Pure Capitalism and a Pure Command System Represent