Questions: Which of the following is a characteristic of socialism? (A) Formal economic policies exist (B) A market economy and a command economy exists (C) High taxes exist (D) Government owns key industries (E) All the above.

The answer is D: Government owns key industries.

Explanation for each option:

A) Formal economic policies exist - This is not a characteristic unique to socialism. Formal economic policies can exist in various economic systems, including capitalism and mixed economies.

B) A market economy and a command economy exist - This describes a mixed economy, which combines elements of both market and command economies. Socialism typically leans more towards a command economy where the government plays a significant role in economic planning.

C) High taxes exist - While high taxes can be a feature of socialist systems to fund public services and redistribute wealth, they are not a defining characteristic of socialism itself. High taxes can also be present in non-socialist countries.

D) Government owns key industries - This is a defining characteristic of socialism. In socialist systems, the government often owns and controls major industries, such as transportation, energy, and healthcare, to ensure that they serve the public interest.

E) All the above - This option is incorrect because not all the listed characteristics are exclusive to socialism.