In a market system profits:
A) are unfair.
B) signal to entrepreneur what to produce.
C) are too high.
D) all of the above.

Question

Quizplus · Accepted Answer

Profits in a market system serve as a signal to entrepreneurs about what goods and services to produce. This helps to allocate resources efficiently and adapt to changing consumer demands. While some may argue that profits are unfair, the market system operates based on voluntary transactions and competition, which can help to ensure that businesses provide value to customers in order to earn profits. The assertion that profits are too high is subjective and depends on individual opinions about the fairness of income distribution.

In a Market System Profits