Question

Complete the sentence.

There is a need for mixed economic system because...

• A. the lower sections of the society get ignored under other economic systems.
• B. the government does not possess all the resources that are required to manage the entire economy by itself.
• C. the richer section of the society gets ignored.
• D. the private players posses all the resources that are required to manage the entire economy.

Answer 1

The correct option is B the government does not possess all the resources that are required to manage the entire economy by itself.

Mixed economy lies midway between capitalist and socialist economies. Both the private players and the government run the economy. A balance is maintained between profit maximisation and social welfare.