Which of the following statement is true in relation to the socialist economy? Statement-I: Relative inequality of income distribution in the…

CA Foundation · Business Economics · PYQS · September 2025
Which of the following statement is true in relation to the socialist economy? Statement-I: Relative inequality of income distribution in the society. Statement-II: Freedom from hunger is guaranteed, but consumers' sovereignty gets restricted. Statement-III: Market forces have a major role in the allocation of resources. Statement-IV: Buyers ultimately determine which goods and services will be produced and in what quantities.
(A) A. Statement - II
(B) B. Statement-IV
(C) C. Statement- I
(D) D. Statement – III

Suggested Answer and Working Notes:

Correct Answer: Option (A)

A. Statement - II

Topics: Nature & Scope of Business Economics

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