Final answer:
A market economy is where private enterprise can own property and oversee the production and distribution of goods and services, supported by the state to ensure competition and efficiency. A command economy is government-controlled, while a mixed economy combines elements of both systems.
Step-by-step explanation:
A system exists where private enterprise reserves the right to own property and monitor the production and distribution of goods and services, with the state supporting competition and efficient practices, is known as a market economy. In a market economy, decisions are made by individuals and private firms about what to produce, how to produce, and who receives the products. This economic structure is characterized by private property rights and a decentralized decision-making process, with markets coordinating these decisions. The New York Stock Exchange is a classic example of a market, facilitating the exchange between buyers and sellers.
In contrast, a command economy involves government ownership of resources and centralized decision-making by officials, limiting the economic freedom of individuals. Public enterprise, representing this command structure, is characterized by collective, government ownership of resources. A mixed economy features a combination of these two, with some decisions made by the market and others by the government.