Questions: China has had some success using capitalist principles, although the government runs the businesses, in a system called - private capitalism - socially mixed economies - state capitalism - defensive capitalism

China has had some success using capitalist principles, although the government runs the businesses, in a system called 
- private capitalism
- socially mixed economies
- state capitalism
- defensive capitalism
Transcript text: 1:44 learning.mheducation.com Mc Graw Hill $\square$ 9 of 52 Concepts completed (i) Multiple Choice Question China has had some success using capitalist principles, although the government runs the businesses, in a system called $\qquad$ private capitalism socially mixed economies state capitalism defensive capitalism Need help? Review these concept resources. 目 Read About the Concept Rate your confidence to submit your answer. $\square$
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Solution

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Answer

The answer is state capitalism.

Explanation
Option 1: Private capitalism

Private capitalism refers to an economic system where private individuals or businesses own capital goods. The production of goods and services is based on supply and demand in the general market (market economy), rather than through central planning (planned economy). This does not accurately describe China's system, where the government plays a significant role in the economy.

Option 2: Socially mixed economies

Socially mixed economies, or mixed economies, combine elements of both capitalism and socialism. They feature a mix of private and public ownership of industry and services. While China does have some elements of a mixed economy, the term "state capitalism" more precisely describes the dominant role of the government in business operations.

Option 3: State capitalism

State capitalism is an economic system in which the state undertakes business and commercial economic activity (i.e., for-profit activities) in the market and acts as a capitalist entrepreneur. This term accurately describes China's economic model, where the government owns and operates many of the country's largest businesses and uses capitalist principles to drive economic growth.

Option 4: Defensive capitalism

Defensive capitalism is not a widely recognized term in economic theory. It does not accurately describe China's economic system, which is characterized by significant state involvement in business operations.

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