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C A foundation Economics Paper4 Part I Questions for practice


Q8) The industrialization and economic development of the USA, Great Britain and other Western European countries have taken place under the condition of ____.

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Solution:
The correct answer is (b) Capitalism and laissez-faire. The industrialization and economic development of the USA, Great Britain, and other Western European countries were primarily driven by the capitalist economic system and the laissez-faire policies that allowed for free-market competition and limited government intervention. Private individuals and businesses were free to pursue their economic self-interest and engage in market transactions with minimal government regulation. This allowed for the efficient allocation of resources and the growth of industries and businesses. Option (a) is incorrect because socialism and a planned economic structure are not the systems under which the industrialization and economic development of the USA, Great Britain, and other Western European countries occurred. Option (c) is also incorrect because a mixed economic structure, which involves a combination of government intervention and private enterprise, did not play a significant role in the early stages of industrialization and economic development in these countries. Option (d) is incorrect because the industrialization and economic development of the USA, Great Britain, and other Western European countries did occur under a specific economic system, namely capitalism and laissez-faire policies.
Correct option is ()