A Principal Feature of a Command Economy Is That ____________

question 84

Multiple Choice

A principal feature of a command economy is that ____________.

• A) production decisions are made by profit-maximizing firms.
• B) there is a central planning board at the top, which transmits economic decisions down to the various producing and consuming units below.
• C) consumers are allowed to determine that is produced based on their demand for goods and services.
• D) regulatory agencies constrain the most egregious forms of market power in a market system of allocation.

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Definitions:

Free-Press Principle

The fundamental belief in the unrestricted right of the media to report news and express opinion, considered a cornerstone of democracy.

American Law

Refers to the legal system of the United States, which includes the Constitution, laws enacted by Congress, regulations developed by governmental agencies, and the case law established by courts.

King George's War

A phase of the War of the Austrian Succession (1740-1748) that took place primarily in North America between the French and British colonies.

Boston

A historic city in Massachusetts, United States, known for its significant role in the American Revolution, including events such as the Boston Tea Party.