Two traditional economies are trying to industrialize. The leaders of the first favor a command economic system. The leaders of the second want to try more free market-based policies. Which of the following actions would likely occur in one but not the other industrializing economy?
(A) Conversion of farmland from agriculture to industry
(B) Export of surplus goods not consumed locally
(C) Investment in loans to support independent start-ups
(D) Payment of workforce based on units of production

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09-08-2019
Business

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Two traditional economies are trying to industrialize. The leaders of the first favor a command economic system. The leaders of the second want to try more free market-based policies. Which of the following actions would likely occur in one but not the other industrializing economy?
(A) Conversion of farmland from agriculture to industry
(B) Export of surplus goods not consumed locally
(C) Investment in loans to support independent start-ups
(D) Payment of workforce based on units of production

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isyllus isyllus · Answer 1 · 2019-08-13T10:07:50+02:00

Answer: Under the given conditions, the following actions would likely occur in one but not the other industrializing economy: Investment in loans to support independent start-ups

Here, in this particular case, The leaders of the first favor a command economic system. The leaders of the second want to try more free market-based policies.

Once industrialized an economy will start investment in loans to support independent start-ups.

Therefore, the correct option is (c)

Аноним Аноним · Answer 2 · 2019-08-13T11:47:08+02:00

Answer:

The correct option here is B) .

Explanation:

A command economic system is that of economic system where government controls all the factors of production like resources ( and their allocation ) , land and they set the prices in the economy, they decide what to produce and how much to produce.

A market economy is that one in which prices are set by the forces of market ( which are demand and supply ) , producers are free to produce anything they want and enter in to a contract with anyone to export or produce any and as much good.

So when these economies tries to industrialize , one thing is for sure that export of surplus goods not consumed locally will happen in one of the economy ( probably in market economy ) than other.