In: Economics
What is the main difference between capitalism and a mixed economy? Which model is used in the Kingdom of Saudi Arabia? Explain with justification.?
Capitalism is a free economic system which encourages private to
voluntarily and compete with other private individuals to plan,
produce, and trade without any government involvement.
Whereas a mixed economic system allows private property ownership
but government always interfere in the trade and policy of the
private individuals.
ECONOMY OF SAUDI ARABIA.
Saudi Arabia is one of the strongest economy in the world. This
country has a strong oil based economy. Government control over the
major economic activities. The economy of Suadi Arabia is
considered as a mixed
economy.
The government allows and promote trade and business by the private
individuals. In the recent times many new policies were initiated
by the government to promote private business in order to boost
country's economy and to free from the dependency of oil.
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