There are two statements given below marked as Assertion (A) and Reason (R). Read the statements and choose the correct option.

Assertion (A): In a capitalist economy, private entities own resources, whereas in a socialist economy resources are owned by the state. 

Reason (R): In a socialist economy, it is assumed that the government knows the exact needs of the people. 

A. A is true but R is false. 

B. A is false but R is true. 

C. Both A and R are true and R explains A. 

D. Both A and R are true and R does not explain A.

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1 Answers

D. Both A and R are true and R does not explain A.

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