Question

List 4 differences between a command economy and a market economy. (Give at least 4

differences)

IM IN 7TH GRADE ADVANCED, MY OPEN NOTES SUCK, I NEED HELP​

Answer 1

1. In a command economy, the government makes all economic decisions and decides how resources are allocated. In a market economy, individuals and businesses make decisions about how to use resources.

2. In a command economy, the government sets prices for goods and services. In a market economy, prices are determined by supply and demand.

3. In a command economy, the government controls the distribution of goods and services. In a market economy, goods and services are exchanged through markets.

4. In a command economy, people do not have the right to own private property. In a market economy, people are allowed to own private property.