Answer:
A. True
Step-by-step explanation:
In a mixed economy, most economic decisions are made in markets, but the government plays a significant role in the allocation of resources.
This statement is true. In a mixed economy, there is a combination of both market forces and government intervention. The market determines the prices, production, and distribution of goods and services through supply and demand. However, the government steps in to regulate and provide essential services that the market may not adequately address, such as education, healthcare, infrastructure, and social welfare.
The government's role in resource allocation can take various forms. It can implement policies and regulations to ensure fair competition, protect consumer rights, and prevent monopolies. It can also intervene in the economy to promote economic stability, reduce inequality, and address market failures. For example, the government may use taxation, subsidies, or price controls to influence the allocation of resources and promote desired outcomes.
In addition, the government may invest in public goods and infrastructure, which benefit society as a whole but may not be efficiently provided by the market alone. This includes things like roads, bridges, schools, and hospitals.
Overall, in a mixed economy, while markets play a significant role in making economic decisions, the government also has an important role in ensuring the efficient allocation of resources and promoting the well-being of its citizens.