How Do Capitalists and Communists View Monopolies?
What do capitalists believe we should do about monopolies?
A) Encourage monopolies
B) Regulate monopolies
C) Both capitalists and communists believe in a free market approach to monopolies.
D) Both capitalists and communists believe in strict government control of monopolies.
What do communists believe we should do about monopolies?
A) Regulate monopolies
B) Encourage monopolies
Answer:
The best approach for handling monopolies according to capitalists is B) Regulate monopolies, while for communists, the preferred action is A) Regulate monopolies.
Capitalists generally advocate for the regulation of monopolies to maintain competition and protect consumers. They believe that monopolies should be subject to regulations to prevent them from engaging in anti-competitive practices that could harm the economy and consumers.
On the other hand, communists prefer the regulation of monopolies to ensure that all economic resources are owned collectively by the state. In a communist system, there is no room for private monopolies as all means of production would be controlled by the state for the benefit of the community.