--%>
Assignment Help - homework help

Mixed economic resolves essential economic problems

Why do some people think that a mixed economic system resolves essential economic problems?

E

Expert

Verified

It is since both the public sector and private sector have a say in answering the essential economic questions, therefore, there will be the degree of high efficiency (because of the private sector concern) and social welfare as well (because of the public sector concern).

It provides the Government to arbitrate when the economy faces market breakdown. The mixed economic system provides markets to operate freely till it fails to assign resources efficiently, subsequent to this, the government agencies, like the EU Competition Commission, are capable to correct for such failures. If this had been a totally free economic system, Government organizations wouldn’t have the means of power to be capable to arbitrate.

   Related Questions in Microeconomics

  • Q : Types of elasticity of supply Types of

    Types of elasticity of supply: There are five kinds of elasticity of supply:1. Perfectly elastic supply:

    Q : Loans from financial institutions Can

    Can someone please help me in finding out the accurate answer from the following question. The biggest percentage of the corporate financing comes from: (i) Issuing general stock. (ii) Loans from financial institutions. (iii) Issuing the corporate bonds. (iv) Dividend

    		•
  • Q : Distribution of Wealth When line 0C0'

    When line 0C0' shows the U.S. income distribution, in that case the distribution of wealth would most likely be possible: (1) line 0A0'. (2) line 0B0'. (3) line 0C0'. (4) line 0D0'. (5) line 0E0'.

    Q : Marginal revenue-product of labor The

    The monopsonist will hire labor till labor's marginal resource cost equivalents the: (1) The value of average product of labor. (2) Price of labor. (3) Marginal revenue product of labor. (4) Marginal physical product. Choose the ri

    		•
  • Q : AFC curve What does AFC curve appear

    What does AFC curve appear like? Why does it appear so?

    		•
  • Q : Equilibrium market price In a perfectly

    In a perfectly competitive market, market demand curve is provided by Qd = 200 − 5Pd, and the market supply curve is provided by Qd = 35Ps. a) Determine the equilibrium market price

    		•
  • Q : Problem regarding to First Mover

    Carlos and Ivana both are roommates and friends. Carlos and Ivana eat together regardless of who cooks. When this game is repeated almost daily, and on Thursday, Ivana is permitted to pick first, the probable result is that: (w) neither Carlos nor Ivana cook, nor do t

    		•
  • Q : Absolute Poverty of Income A family

    A family whose income leaves this hovering at the brink of survival and that gives only a razor’s edge existence is experiencing: (w) relative poverty. (x) economic shock. (y) financial destitution. (z) absolute poverty.

    Q : Objective of Price Controls Price

    Price controls are intended to: (w) eliminate arbitrage and speculation. (x) stabilize prices. (y) make sure laissez-faire policies. (z) ignore shortages and surpluses. How can I solve my economics problem? Please

    		•
  • Q : Marginal Revenue and Costs in purely

    Hey friends I need your suggestion for this query about the profit and losses as illustrated graph when this firm produces q2 output, in that case its: (w) MR > MC. (x) MR < MC. (y) MR = MC. (z) P > MC.Please give me right answer for the same.