Question

command economy free market economy
government controls most scarce resources citizens control most scarce resources
government controls supply producers control supply
government sets prices consumer and producer interactions set
prices
based on the chart, what is the primary difference in how a command economy and a market economy control scarce resources? e.1.1
a. consumers control the use of scarce resources in a command economy, while the government controls the use of scarce resources in a market economy
b. the government controls the use, supply, and price of scarce resources in a command economy, while consumers and producers control these in a market economy
c. the government and consumers determine who uses the scarce resources in a command economy, while only the government determines who uses these in a market economy
study that a company conducted to determine the

Explanation:

The chart shows that in a command economy, the government controls scarce resources, supply, and prices. In a free market economy, citizens (consumers/producers) control scarce resources, producers control supply, and consumer-producer interactions set prices. Option b directly matches these core differences outlined in the chart.

Answer:

b. The government controls the use, supply, and price of scarce resources in a command economy, while consumers and producers control these in a market economy