A mixed economy is defined as a mix of public and private industry. In a mixed economy, both the government and private sector play significant roles in the economic decision-making process. This system combines elements of capitalism (private ownership and market-driven processes) with elements of socialism (government intervention and public ownership) to balance the needs of both the economy and society.
In a mixed economy, the government may regulate certain industries, provide public services, and implement policies to address market failures, while also allowing for individual entrepreneurship and private enterprise.