A market-based economic system is based on the negotiated establishment of prices between buyers and sellers of goods and labor.

Question

Quizplus · Accepted Answer

A market-based economic system relies on the forces of supply and demand to determine the prices of goods and labor through transactions between buyers and sellers. Prices are determined through negotiation and competition in the marketplace, rather than being dictated by a central authority or government.

A Market-Based Economic System Is Based on the Negotiated Establishment