QUESTION IMAGE
Question
select the correct answer.
in a certain country, private enterprises provide various goods and services. but the government provides free public transportation and electricity to its citizens. which type of economy exists in this country?
a. traditional
b. mixed
c. communist
d. capitalist
A mixed economy combines elements of private enterprise (like capitalism) and government intervention/provision of services (like in socialist or communist systems to some extent). In this case, private enterprises provide goods/services (capitalist aspect), and the government provides free public transport and electricity (government intervention, socialist - like aspect), so it's a mixed economy. A traditional economy is based on customs/traditions, a communist economy has almost all production and distribution controlled by the state, and a capitalist economy has most production and distribution by private entities with little government intervention in providing free essential services like this.
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B. mixed