Which of the following best describes the primary characteristics of the market-oriented era that followed World War II?

• A. Widespread adoption of centrally planned economies and strict government control over production and prices.
• B. Increased reliance on free markets, expansion of international trade, and reduced government intervention in economic activities.
• C. A return to mercantilist policies focused on accumulating gold and restricting imports.
• D. Dominance of subsistence agriculture and minimal participation in global markets.

Answer: (B)

Verified step by step guidance

1. Step 1: Understand the context of the market-oriented era after World War II, which refers to the period when many economies shifted their focus towards market mechanisms rather than centralized control.
2. Step 2: Identify the key features of market-oriented economies, such as reliance on free markets where prices and production are determined by supply and demand rather than government mandates.
3. Step 3: Recognize the role of international trade expansion during this era, which involved countries reducing trade barriers to encourage the flow of goods and services across borders.
4. Step 4: Note the reduction in government intervention, meaning that governments generally allowed markets to operate with less direct control over prices, production, and resource allocation.
5. Step 5: Compare these characteristics with the other options, such as centrally planned economies, mercantilist policies, or subsistence agriculture, to confirm that the correct description involves increased reliance on free markets, expanded international trade, and reduced government intervention.