Question

Gig's native country of Frinezia was much different from the United States. In addition to its higher tax rates, the government offered more extensive social programs that were designed to redistribute income and reduce inequality. Although small businesses were privately owned and operated in Frinezia, many basic industries were owned and operated by the government. From this information, you would classify Frinezia's economic system as ___________.

Answer 1

Answer:

The Frinezia's economic system can be said to be a socialism economic system.

Explanation:

Socialism can be defined as that type of economic and political system where goods and services produced in the economic are for the objective of satisfying human needs rather than producing goods with aim of earning profit ( which happens in capitalism economic system ). In this form of society, government decides the prices of goods and services rather than market forces of demand and supply.

In this system it is believed that through sharing ownership of the resources and central planning , inequitable distribution of income can be reduced.