Paper 1 · Economic Systems
An economy in which the state and the private sector each own part of the means of production is called a
Aclosed economy
Bmarket economy
Cmixed economy
Dplanned economy
Explanation: A mixed economy combines both systems: private firms operate in most markets while the state owns or regulates activities such as utilities, health and education where the market alone is thought to fail. Almost every real economy is mixed, differing only in how far each sector extends.
Derived from ZIMSEC Business Enterprise Skills Paper 1, Nov 2018, Q1