The key difference between economic systems is the different ways in which they manage
A) the factors of production.
B) the transportation of goods within their borders.
C) government rules and regulations.
D) the payment of workers.
E) the degree of competition that is allowed in various domestic industries.

Question

Quizplus · Accepted Answer

The factors of production (land, labor, capital, and entrepreneurship) are the fundamental resources used in economic systems, and different economic systems manage them in different ways. For example, a free-market system allows private individuals and businesses to own and manage the factors of production, whereas a command economy gives control over the factors of production to the government. Therefore, the differences between economic systems can be traced back to the different ways in which they manage the factors of production.

The Key Difference Between Economic Systems Is the Different Ways