Question

in theory, market economies are driven only by supply and demand, while command economies are directed entirely by the government. but in practice, economic systems exist on a spectrum, which is a way to classify items on a range between two extremes. most countries have mixed economies, which include elements of both command and market economic systems.
look at the diagram showing the spectrum of economic systems. then follow the instructions below.
economists consider the united states to have a mixed economic system. decide whether each element of the u.s. economic system more closely resembles a command economy or a market economy.
the prices for most goods in the u.s. are set by the forces of supply and demand.
businesses in the u.s. can develop and make almost any product they choose.
workers in the u.s. must be paid at least as much as the minimum wage set by the government.
u.s. highways and airports are funded and overseen by the government.
consumers in the u.s. have a wide variety of choices when deciding what to purchase.

Explanation:

• For "The prices for most goods in the U.S. are set by the forces of supply and demand": In a market economy, supply and demand determine prices. So this is a market - based element.
• For "Businesses in the U.S. can develop and make almost any product they choose": Market economies allow for business freedom to produce goods based on market needs (supply and demand expectations). This is a market - based element.
• For "Workers in the U.S. must be paid at least as much as the minimum wage set by the government": The government setting a minimum wage is a form of government regulation, which is more in line with a command - like element (as the government is dictating a wage floor).
• For "U.S. highways and airports are funded and overseen by the government": Government - funded and - overseen infrastructure is a command - like element (government control over resource allocation for these projects).
• For "Consumers in the U.S. have a wide variety of choices when deciding what to purchase": A wide variety of consumer choices is a characteristic of a market economy where producers respond to consumer demand. This is a market - based element.

Answer:

1. Market
2. Market
3. Command
4. Command
5. Market