Which of the following economic systems is most likely to take decisions based on direct government planning?

The command economic system is characterized by significant government intervention in economic decision-making. In this type of system, the government plans and controls the production, distribution, and consumption of goods and services. Economic decisions regarding what to produce, how to produce, and for whom to produce are determined centrally by the government, with little to no input from market forces or individual producers and consumers.

This central planning is intended to achieve specific economic goals, such as equitable distribution of wealth or rapid industrialization. Because of the significant role that the government plays in directing economic activity, command economies can often mobilize resources quickly for specific objectives, such as during wartime or in response to crises.

In contrast, mixed market economies incorporate elements of both free markets and government intervention, whereas traditional systems rely on customs and historical practices. Market economies primarily depend on supply and demand, with little government influence in many aspects. Thus, the fundamental defining characteristic of a command economic system is its reliance on direct government planning to make economic decisions.