A, B, C.The standard economics definition of socialism is government ownership of the businesses, or at least government ownership of the large businesses.With socialism, the Soviet Union's economy declined.For another example, before World War 2, the area that today is North Korea was more industrialized that the area that today is South Korea, and the North had average salaries higher than in the South.Today South Korea has average incomes above Japan, while the average North Korean makes $1,000 per year.In addition, modern China's economic growth only occurred after China allowed capitalism.Separatelyanswering as partsA, B, and C, give and explain three different reasons,naming and applying economic principles, for the economic stagnation and decline in socialist countries.

Note:Do not simply repeat the historic fact that socialist economies declined.In addition, do not simply repeat the clich "lack of work incentives."The socialist countries also had higher salaries for jobs that were more difficult, more unpleasant or required greater education.