Which economic system is characterized by more equal distribution of goods and services and increased government control?

The choice of socialism as the correct answer can be understood by examining its defining characteristics. Socialism emphasizes the equitable distribution of wealth and resources, striving for reduced income inequality compared to other economic systems. In a socialist system, the government typically plays a significant role in the economy, often owning or regulating key industries and services. This control allows for the redistribution of goods and services to meet the needs of the population rather than prioritizing profit.

Moreover, socialism seeks to provide universal access to essential services like healthcare and education, reinforcing the commitment to social welfare and equality. In contrast to capitalism, where market forces dictate the distribution of goods and services with minimal government intervention, socialism prioritizes collective ownership and welfare, leaning towards greater governmental oversight.

While communism also advocates for equal distribution and government control, it represents an extreme form of socialism with the aim of establishing a classless society, where all property is publicly owned. The key distinction in this context is that socialism allows for some degree of private enterprise and market mechanisms.