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learning: economics and banking
question
capitalism is an example of a ------- economy.
answer
socialist
mixed
market
planned
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In economics, a market economy is driven by private ownership and free market forces. Capitalism is characterized by private ownership of production, profit motive, and market - determined prices and production, which fits the definition of a market economy. A planned economy is centrally planned (like in some socialist states), a mixed economy has both market and planned elements, and a socialist economy emphasizes social ownership. So capitalism is a market economy.
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C. market