Give the merits and demerits of mixed economic system.
Give the merits and demerits of mixed economic system.
The merits of a mixed economic system are:
(i) Mixed economy gives adequate scope to private individuals to co-exist and contribute to economic development.
(ii) In this, planned economic development ensures stability and balanced development.
(iii) In this, there is competition between the private sector and public sector industries. It leads to enhanced productivity.
The demerits of a mixed economic system are:
(i) Mixed economy cannot effectively control the private sector industries which are outside the government purview.
(ii) It is characterised by red-tapism and high degree of corruption.
(iii) In it, there is a concentration of economic power in the hands of private entrepreneurs, politicians and bureaucrats.
The merits of a mixed economic system are:
(i) Mixed economy gives adequate scope to private individuals to co-exist and contribute to economic development.
(ii) In this, planned economic development ensures stability and balanced development.
(iii) In this, there is competition between the private sector and public sector industries. It leads to enhanced productivity.
The demerits of a mixed economic system are:
(i) Mixed economy cannot effectively control the private sector industries which are outside the government purview.
(ii) It is characterised by red-tapism and high degree of corruption.
(iii) In it, there is a concentration of economic power in the hands of private entrepreneurs, politicians and bureaucrats.
