Asked by Kevin Wiley Jr. on Jul 23, 2024
Verified
Which of the following is a fundamental characteristic of the market system?
A) property rights
B) central planning by government
C) unselfish behavior
D) government-set wages and prices
Market System
A market system is an economic system in which decisions regarding investment, production, and distribution are based on supply and demand, and prices are determined in a free price system.
Property Rights
Property rights are the legal rights to use, control, and dispose of property, including land, buildings, or intellectual property.
Central Planning
A system where a nation's government makes all decisions regarding the economy, including resources allocation and production levels.
- Comprehend the essential attributes and distinctions between market and command economic frameworks.
Verified Answer
AH
Arianna HudsonJul 30, 2024
Final Answer :
A
Explanation :
Property rights are fundamental to the market system because they allow individuals to own and control the use of their property, which is essential for the functioning of a market economy. This encourages investment, innovation, and efficient resource allocation.
Learning Objectives
- Comprehend the essential attributes and distinctions between market and command economic frameworks.