Question

which economic system has no government involvement in the market?
a. capitalism
b. communism
c. socialism
d. no economic system is free from government involvement.
please select the best answer from the choices provided
a
b
c
d

Explanation:

To determine the economic system with no government involvement, we analyze each option:

• Capitalism (specifically laissez - faire capitalism) is an economic system where the market operates with minimal to no government intervention, driven by private ownership and free market forces.
• Communism has a high degree of government control over the economy as the state owns most means of production.
• Socialism involves government intervention in the economy to ensure social welfare and equitable distribution of resources.
• The option "No economic system is free from government involvement" is incorrect because while in reality no system is completely free, the question is about the system that is supposed to have no government involvement in theory, and capitalism (laissez - faire) is the closest in theory.

Answer:

a. capitalism