(i) Co-existence of Private and Public Sector: Under this system there is co-existence of public and private sectors. In public sector, industries like defense, power, energy, basic industries etc., are set up. On the other hand, in private sector all the consumer goods industries, agriculture, small-scale industries are developed. The government encourages both the sectors to develop simultaneously.
(ii) Personal Freedom: Under mixed economy, there is full freedom of choice of occupation, although consumer does not get complete liberty but at the same time government can regulate prices in public interest through public distribution system.
(iii) Private Property is allowed: In mixed economy, private property is allowed. However, here it must be remembered that there must be equal distribution of wealth and income. It must be ensured that the profit and property may not concentrate in a few pocket
(iv) Economic Planning: In a mixed economy, government always tries to p
romote economic development of the country. For this purpose, economic planning is adopted. Thus, economic planning is very essential under this system.
