Mixed Market Economy

Question 1

What is the definition of a mixed market economy

Answer 1

• A mixture of private and government control of the economy
• The government, as well as people and businesses, own the land and natural resources

Question 2

what are the characteristics of a mixed market economy

Answer 2

• capital comes from, banks, shareholders and the government
• entrepreneurs decide what to produce
  the government spends taxes on education, housing and clean water

Question 3

what is an example of a mixed economy?

Answer 3

south africa

Question 4

what are the advantages of a mixed market economy

Answer 4

• helps increase national production in the country
• both public and private sectors work hard to increase the production [GDP] in the country and create wealth
• solves the problems created by the free market and too much government control
• provides freedom of enterprise, ownership and profit earning as well as social welfare and political freedom in the country

Question 5

what are the disadvantages of a mixed market economy

Answer 5

• this economy suffers from disadvantages and advantages of both free market and centrally planned economies
• often suffer from bad decisions resulting from the clash between the clash of the free market
• principles and providing social services
• wastage pf resources happens under a mixed market than in a free economy and centrally planned economies