Question

You are a manager for McDonalds Corporation. Your boss tells you that the company is thinking about putting restaurants into a new foreign country that McDonalds has not been in before. Your boss is very interested to find out if the economic system of this new country will be a good one for McDonalds sales. He tells you that the new country's economy is based on optimizing economic

efficiency, promoting egalitarianism, and preventing self-interest. What type of economy does this new country have?

a. None of the other answers are correct
b. Mixed economy
c. Market economy
d. Command economy
e. Socialistic economy

Answer 1

The economic system of the new country aimed at optimizing economic efficiency, promoting egalitarianism, and preventing self-interest is indicative of a command economy.

Step-by-step explanation:

The new country's economy that is being considered for McDonald's expansion is focused on optimizing economic efficiency, promoting egalitarianism, and preventing self-interest. Based on these characteristics, the country's economic system is most aligned with a command economy. In a command economy, the government makes all the decisions regarding production and distribution of goods and services with the goal of achieving economic equality and efficiency, often at the expense of individual freedoms and the natural market dynamics present in a market economy. The scenario provided does not fit the description of a mixed economy, market economy, or socialistic economy, which tend to allow more room for individual self-interest and private enterprise. Therefore, the correct answer to the question is 'd. Command economy.'