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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command
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market
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None of the above
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Detailed explanation-1: -In a free-market (capitalist) economy, individuals own the factors of production: Businesses produce products. Consumers choose the products they prefer leading the companies that produce them to make more profit.
Detailed explanation-2: -Market economies have little government intervention, allowing private ownership to determine all business decisions concerning how a business is run. This type of economy leads to greater efficiency, productivity, and innovation.
Detailed explanation-3: -Mixed economies are the most common economic system in the world today.
Detailed explanation-4: -Free market is an economic system where people do what’s best for them for personal gain. Consumers have an interest in looking for lower prices. Producers engage in a competition for consumer’s money.