Question

Supporters of command economies (such as socialists and communists) claim that firms in market economies do not produce the goods and services wanted by the poor because __________. A. governments in market economies do not care about the poor

B. firms are run by rich people who do not care about the poor
C. education in market economy nations does not teach about what people need
D. firms produce only what people with money want and need

Answer 1

D. firms produce only what people with money want and need

Step-by-step explanation:

A command economy is characterized by government control of the means of production. It is the government that decides what to produce, how much to produce, and the marketing price. This is the opposite of a market economy, where the government acts only as a regulator of private enterprise, which is free to decide what to produce, to whom to produce, and to set prices.

Advocates of the command economy argue that it is the state's role to produce for everyone, including the poorest. They criticize the production of private enterprise because it acts on the logic of profit, that is, entrepreneurs produce only for those who have money to buy, indirectly isolating the poorest.

Answer 2

Supporters of command economies (such as socialists and communists) claim that firms in market economies do not produce the goods and services wanted by the poor because D. firms produce only what people with money want and need. The government in the command economy controls all of the economic activities of the country for the benefit of all