Home / Aptitude Tests / Economics / In a capitalist econ...

In a capitalist economy, factors of production are owned ...

In a capitalist economy, factors of production are owned and controlled by the _____?

A.

Citizen

B.

Business Men

C.

Government

D.

Foreigners

Correct answer is B

Capitalism or free market economy may be defined as the type of economic system in which the means of production are owned and controlled by private individuals that is; it is characterized by private ownership of the means of production. In this case, the private individuals play a greater role than the government in taking decisions on what to produce, how to produce, for whom to produce and the distribution of what has been produced.