A mixed-market economy is one in which:

• A. both private individuals and the government play significant roles in economic decision-making
• B. the market operates without any laws or regulations
• C. economic decisions are made solely by private individuals without any government intervention
• D. all resources are owned and allocated by the government

Answer: (A)

Verified step by step guidance

1. Understand the definition of a mixed-market economy: it is an economic system where both private individuals and the government have roles in economic decision-making.
2. Recognize that in a mixed-market economy, the government typically intervenes to regulate or support the market, but private individuals and businesses also operate freely.
3. Contrast this with other economic systems: a purely free market has no government intervention, while a command economy has all resources owned and allocated by the government.
4. Eliminate options that describe a market without laws or regulations, or one where only private individuals make decisions, as these do not fit the mixed-market definition.
5. Conclude that the correct description of a mixed-market economy is the one where both private individuals and the government play significant roles in economic decision-making.