4
QuizMultiple Choice

Economic Systems and Daily Life — Quiz

Question 4 • Economics

Ivan works for an automobile factory that exports cars around the world. The government manages the factory, and he lives in housing provided by the city. Ivan most likely lives in

Answer
A
a mixed market economy with some government regulation.
B
a pure market economy with no government regulation.
C
a command economy with heavy government regulation.
D
a closed economy with limited government regulation.

Explanation

In a command economy, the government directs major parts of economic life, such as owning or managing factories and providing housing. Since the government manages Ivan’s factory and the city provides his home, he most likely lives in a command economy with heavy government regulation.

AI-written and checked against the verified answer.

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