A form of capitalism that accepts the general principal of free-market economics but allows significant government involvement in the economy in order to protect domestic economic interests is known as
a. state led capitalism.
b. Asian Economic Model.
c. socialism.
d. mercantilism.
e. mixed economy.
Question 2
State capitalism is a system in which
a. the government has a substantial role in the regulation of the economy and the establishment of social welfare programs.
b. a small number of economically and politically powerful individuals primarily benefit.
c. there is minimal government involvement in regulation of the economy and little social welfare spending.
d. the government intervenes in the economy to guide economic activities in an effort to foster economic growth.
e. the government owns certain individual enterprises, which are typically in lucrative industries such as energy.
Comparing Capitalism and Socialism
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