Which of the following statements is not applicable to the capitalist economic system?

Economic system is based on large production

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Means of production are owned by Government

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Economic system is based on huge exchange

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Only to get maximum profit is the objective

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Solution

The correct option is B Means of production are owned by Government
Capitalist economic system is one of the oldest economic systems. In this system, means of production are owned by private individuals. The maximization of profit is the main motive of the producer. Profit guides the production in this type of economy. There is no interference of government in the economic activities of the economy. This means producers and consumers are free to take decisions.

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Similar questions

Q25. Which of the following statements are correct?

1. A mixed economy refers to market economy with strong regulatory oversight and governmental provision of public goods.

2. A socialist economic system is characterized by social ownership and democratic control of the means of production.

3. Capitalism is an economic system in which capital goods are owned by private individuals.

4. Marxian economics provided a foundation for capitalism.

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