Answer
The market system is characterized by private ownership of resources, and economic activity is coordinated through market prices. Participants in the market seek to maximize satisfaction or profit through their own decisions regarding what to buy and what to sell. The result of this market system is competition.
The command system is characterized by ownership of all or almost all resources by public ownership. Economic decisions are made through central planning, where the planning board places production goals for each enterprise.
Work Step by Step
The market system is characterized by private ownership of resources, and economic activity is coordinated through market prices. Participants in the marker seek to maximize satisfaction or profit through their own decisions regarding what to buy and what to sell. The result of this market system is competition.
The command system is characterized by ownership of all or almost all resources by public ownership. Economic decisions are made through central planning, where the planning board places production goals for each enterprise.
