ECONOMICS
ECONOMIC SYSTEMS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Traditional
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Free Enterprise
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Socialist
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Communist
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Detailed explanation-1: -Free enterprise is a type of economy where products, prices, and services are determined by the market, not the government. It’s capitalism, not communism.
Detailed explanation-2: -The countries with the greatest economic freedom tend to be those that encourage entrepreneurialism and protect private property. These policies encourage laissez-faire economics, another term for a free market structure.
Detailed explanation-3: -A free and competitive market economy is the ideal type of market economy, because what is supplied is exactly what consumers demand.
Detailed explanation-4: -A market economy is an economic system in which individuals, rather than the state, own most of the resources. This includes land, labor, and capital. In a market economy, individuals control the use and price of these resources through voluntary decisions made in the marketplace.