TEXT Market and Command Economies Economics is a science that analyses what, how, and for whom society produces. The central society's ability to produce goods and services.…

TEXT Market and Command Economies Economics is a science that analyses what, how, and for whom society produces. The central society's ability to produce goods and services. economic problem is to reconcile (примирить) the conflict between people's unlimited demands with production and consumption are coordinated through prices. In industrial Western countries markets are to allocate resources. The market is the process by which In a command economy, a central planning office makes decisions on what, how, and for whom to produce. Economy cannot rely entirely on command, but there was extensive planning in many Soviet bloc countries. A free market economy has no government intervention. Resources are allocated entirely through Modern economies in the West are mixed and rely mainly on the market but with a large dose of interest to economists. government intervention. The optimal level of government intervention remains a problem which is of The degree of government restrictions differs greatly between countries that have command economies and countries that have free market economies. In the former, resources are allocated by central government planning. In the latter, there is not any government regulation of the consumption, production, and exchange of goods. Between the two main types lies the mixed economy where market and government are both of importance. а) Ответьте на следующие вопросы к тексту Market and Command Economies. 1. What is the central economic problem of a society? 2. What is the market? 3. What is the function of the market in an industrial country? 4. How are decisions made in a command economy? 5. In what way does a free market economy differ from a command economy? 6. To which type do most economies in the West belong?