The Food and Drug Administration (FDA) is part of federal government's Department of Health and Human Services. Among its other functions, the FDA evaluates the drugs and medical devices. In 2020, the FDA had to approve pharmaceutical firms Pfizer and Moderna's Covid-19 vaccines for emergency use before the vaccines c centrally planned economy, the government decides how resources will be allocated. In a market economy, the decisions of households and firms interacting in marke The regulation of the production and sale of drugs and medical devices in the United States is an example of how resources are allocated in a
A. market economy because the drug development, and the resources allocated to the development, occurs in the market.
B. centrally planned economy because the FDA is part of the government and this involves central planning.
C. centrally planned economy because the government controls whether the drug can be used.
D. market economy because the FDA is made up of elected officials.