PPT Slide
Communism is a system in which the government owns and operates all sources of production. With socialism, the government owns and operates selected major industries.
2.Market Economies- Producers and consumers control production and allocation decisions through supply and demand. Market economies are based on the principles of capitalism, which provides for the private ownership of the factors of production and encourages entrepreneurship by offering profits as an incentive.
3.Mixed Market Economies. Most countries today rely on an economy featuring characteristics of both
planned and market economies. Many former planned economies are now adopting market mechanisms
through privatization, which is the process of converting government enterprises into privately owned
companies. Planned economic system in which the government owns and operates only selected major
sources of production is socialism.