In a ____ the factors of productions are owned collectively rather than individually, and no incentive to work harder or to produce quality products are provided
Answer (2)
The blank in the question refers to 'communism,' where the factors of production are collectively owned without individual ownership. This system often results in a lack of incentives for quality and productivity. Historical examples include the Soviet Union, Cuba, and North Korea, where state control is prevalent.
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The answer to this question is 'communist system' or simply 'communism'.
In a communist system, the factors of production—such as land, labor, and capital—are owned collectively rather than by individuals. This concept is based on the ideology of communism, which was developed by Karl Marx and Friedrich Engels in the 19th century.
In communism, the idea is to eliminate class distinctions and create a classless society. The government or the collective society makes all economic decisions and controls all aspects of production with the goal of distributing resources equitably among all people.
However, because there is no private ownership of resources and profits are not a primary motive, there is often little personal incentive for individuals to work harder or strive for excellence in their work. This lack of personal incentive can result in inefficiency, lower productivity, and less innovation, as there is no direct reward for additional effort or creativity.
Communism became a significant form of government in the 20th century, with countries like the Soviet Union, China, and others adopting it as their official ideology. However, over time, many of these countries have either abandoned communist principles entirely or have adapted them to include more market-based economic practices.
