Which of the Following Is Characteristic of a Pure Command

question 110

Multiple Choice

Which of the following is characteristic of a pure command economy?  

• A) All resources are privately owned. 
• B) Economic activity is coordinated by the price system. 
• C) Competitive markets guide resources to their highest-valued uses. 
• D) Centralized economic planning is used to answer the basic economic questions.

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Definitions:

Profit Sharing

A corporate policy where employees receive a share of the company's profits, typically as part of their compensation package.

Wealth Redistribution

The transfer of income and wealth from certain individuals or groups to others through mechanisms like taxation, charity, or welfare policies, aiming at economic equality.

Mandated By Law

Requirements or actions that are legally imposed and regulated by legislation, which individuals or entities must comply with.

Host-Based Pay

Expatriate pay comparable to that earned by employees in a host country.