Question

which of the following describes a drawback of a command economy compared to a free market economy

answer-it reduces innovation by requiring all business to follow government orders

Answer 1

Answer:

It reduces innovation.

Explanation:

Major drawback of a command economy compared to a free market economy is the reduction of innovation. In command economy, products are produced by the government which are not of high quality while on the other hand, in free market economy different companies compete with each other and for increase their sales they provide high quality products.

Answer 2

Answer: It reduces innovation by requiring all businesses to follow government orders.

Explanation: Just got it right on A.P.E.X