A mixed economy combines elements of both capitalism and socialism, integrating private enterprise with government regulation and intervention. It features a balance between free markets and state control, allowing for private ownership alongside public services and welfare programs. Characteristics of a mixed economy include government oversight in key sectors (e.g., healthcare, education), social safety nets, and policies aimed at correcting market failures. This system aims to combine the efficiency of capitalism with the equity of socialism, striving for both economic growth and social welfare.