Which economic theory advocates for public ownership of production means?

• A. Capitalism
• B. Feudalism
• C. Socialism
• D. Laissez-Faire

Answer: (C)

The economic theory that advocates for public ownership of the means of production is socialism. This theory emphasizes that resources and industries should be owned and managed collectively by the community or the state rather than by private individuals. The goal of socialism is to promote equality and ensure that wealth and resources are distributed more fairly among all members of society.

Socialists argue that public ownership can lead to better management of resources, reduce economic inequality, and address issues that might be neglected by the private sector, such as healthcare, education, and social welfare. This system contrasts distinctly with capitalism, where the means of production are privately owned, and profit motives drive economic activity. Thus, socialism proposes a different foundation for economic organization, focusing on social welfare and collective benefit.