Which economic system involves little government regulation or interference?

• A. Mixed economy
• B. Market economy
• C. Command economy
• D. Traditional economy

Answer: (B)

Verified step by step guidance

1. Understand the characteristics of different economic systems: Market economy, Command economy, Mixed economy, and Traditional economy.
2. Recall that a Market economy is defined by minimal government intervention, where supply and demand determine production and prices.
3. Recognize that a Command economy involves significant government control over resources and production decisions.
4. Know that a Mixed economy combines elements of both market forces and government regulation.
5. Identify that a Traditional economy relies on customs and traditions rather than government or market forces.