Fred Sanchez owns and operates his own small automobile repair shop.However,the prices he can charge are fixed,and he rents his land and building from the government.Most of his friends work for industries owned by the government.Fred's country is most likely a(n)____ economy.
A) market
B) communist
C) socialist
D) industrialized
E) capitalist

Question

Quizplus · Accepted Answer

A socialist economy is characterized by a government ownership of major industries and resources, as well as fixed prices and controlled rents. Fred's inability to set his own prices and ownership of his building by the government suggests that he is operating in a socialist economy.

Fred Sanchez Owns and Operates His Own Small Automobile Repair