Question

Compare peacetime economy to wartime economy.

a) Peacetime economy is characterized by lower production and increased unemployment, while wartime economy is characterized by higher production and full employment.
b) Peacetime economy is characterized by higher production and full employment, while wartime economy is characterized by lower production and increased unemployment.
c) There is no significant difference between peacetime and wartime economies.
d) Peacetime economy is characterized by lower production and full employment, while wartime economy is characterized by higher production and increased unemployment.

Answer 1

During wartime, the economy experiences higher production and full employment, while in peacetime, the economy is characterized by lower production and increased unemployment.

Step-by-step explanation:

In wartime, the economy experiences higher production and full employment, while in peacetime, the economy is characterized by lower production and increased unemployment.

During wartime, the demand for goods and services increases as the government requires more resources to support the war effort. This leads to increased production and full employment as workers are needed to meet the demand. In peacetime, however, there is less demand for goods and services, resulting in lower production levels and higher unemployment rates.