Mixed economy works as the middle way to adopt good points and ignore bad points of both market system and socialist system. The public and private sector, together enjoy decision making, management and ownership of business units.
Mixed economy is free from any major interference of the state. However, due to government’s intervention in various important sectors, the evil of monopoly, high profiteering, adulteration and duplication are controlled. Economic planning is always in the center in the process of economic decision in the mixed economy. Social welfare increases in mixed economy.
