ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -In a free market, the forces of demand and supply determine the prices. The Government does not interfere in the determination of the prices.

Detailed explanation-2: -Capitalism is often thought of as an economic system in which private actors own and control property in accord with their interests, and demand and supply freely set prices in markets in a way that can serve the best interests of society.

Detailed explanation-3: -The free market is an economic system based on supply and demand with little or no government control.

Detailed explanation-4: -A market economy is a type of economic system where supply and demand regulate the economy, rather than government intervention.

Detailed explanation-5: -A free market economy is one where supply and demand regulate production and labor as opposed to government intervention. Most countries’ economies contain elements of both free market and command economies.