Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
markets
B
monarchies
C
taxes
D
currencies
Understanding the Answer
Let's break down why this is correct
Answer
Political institutions are to governance as economic institutions are to economic systems. Just like political institutions, such as governments and laws, help organize and manage how a society is governed, economic institutions, like banks and markets, help manage how resources and wealth are distributed. For example, a bank provides a structure for saving and lending money, influencing how people invest and spend. Both types of institutions are essential because they create rules and frameworks that guide behavior in their respective areas. Understanding this relationship helps us see how both governance and economics are structured to support society.
Detailed Explanation
Markets are where buying and selling happen. Other options are incorrect because Monarchies are a type of government, not a part of economic systems; Taxes are payments to the government, not a system for managing the economy.
Key Concepts
Political Institutions
Economic Systems
Governance Structures
Topic
Understanding Political Institutions
Difficulty
easy level question
Cognitive Level
understand
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