In 2006, the government of Kenya sold 30 percent of its stake in the Kenya Electricity Company. In 2005, the government of Nigeria began privatizing its energy industry as well. Based on this information, what conclusion can be drawn about Kenya and Nigeria?

Question

A.
Both countries have pure market economies.

B.
Both countries have pure command economies.

C.
Both countries are incorporating more market elements into their economies.

D.
Both countries are incorporating more command elements into their economies.

Answer 1

C. Both countries are incorporating more market elements into their economies.

The privatization efforts in both Kenya and Nigeria indicate a shift towards market-based approaches in their respective energy sectors, suggesting a movement away from purely command economy practices.