I need help w my economics homework?
I need help answering these:
1. What trade offs are made when a nation chooses a market, mixed, or command economy?
2. How does investment in human and physical capital affect productivity and economic growth?
- OiyLv 612 months agoFavorite Answer
If a command economy is chosen, the trade-offs are individual property rights and the market principle. if the mixed market economy is chosen, the trade-offs are the free-market principles. But if the market economy is chosen, the trade-offs the dictators.
Based on Solow's model and the new growth theory, human capital, education, knowledge, and physical capital will increase productivity and growth.