Which of the following are true?
a)In a socialist economy, goods produced are distributed on the basis of purchasing power of people.
b)In a socialist economy, a poor person is more likely to get a house.
Answer & explanation
Correct answer: option 3
Socialist economy works on the principle of equality for all. Thus, a poor person is more likely to get a house because the government will not focus on the purchasing power of that person but his basic need.