Which economic system combines both private and public enterprises?

The correct choice is mixed economics, which is characterized by the coexistence of both private and public enterprises within the same system. This means that some industries and services are privately owned and operate under market forces, while others are owned and operated by the government to serve public interests.

For example, in a mixed economy, a country might have private businesses providing goods and services in a competitive market, alongside government-run entities offering essential services like healthcare, education, or public transportation. This blend allows for more flexibility in addressing various economic needs and optimizing resource allocation.

While capitalism primarily emphasizes private ownership and free market principles, it does not inherently include a dimension of public enterprise. A free market system focuses on minimal government intervention but does not specify the mix of ownership types. A command economy, on the other hand, is characterized by significant government control and ownership over all economic activities, lacking the elements of private enterprise found in mixed economies. Thus, mixed economics effectively embodies the integration of both systems, highlighting the balance between private innovation and public welfare.