Question

Which of the following is the demerit of capitalistic economy?

• A. Mis-allocation and wastage of resources
• B. Leads to imperialism
• C. Leads to monopoly and its abuses
• D. All of the above

Answer 1

The correct option is D All of the above

Demerits of Capitalistic Economy:

(i) Labour Exploitation

(ii) Class Struggle

(iii) Wasteful Competition

(iv) Threat of Overproduction

(v) Economic Fluctuations

(vi) Unbalanced Growth

(vii) No Welfare Activities

(viii) Monopoly Practices