Q. Consider the following statements with respect to “Mixed Economy” characteristics:
1. Co-existence of private and public sector
2. Private property is also allowed
3. Price Mechanism and Controlled Price
Which of the following codes given below is/are correct?
Answer: C
Notes:
Mixed economy is a golden mixture of capitalism and socialism. Under this system there is freedom of economic activities and government interferences for the social welfare. Hence it is a blend of both the economies. The concept of mixed economy is of recent origin. The developing countries like India have adopted mixed economy to accelerate the pace of economic development. Even the developed countries like UK, USA, etc. have also adopted ‘Mixed Capitalist System’. Mixed economy has following main features:
(i) Co-existence of Private and Public Sector
- ii) Personal Freedom
(iii) Private Property is allowed
(iv) Economic Planning
(v) Price Mechanism and Controlled Price
(vi) Profit Motive and Social Welfare
Source: ForumIAS
