Two major virtues of the market system are that it
A) allocates resources eﬃciently and allows economic freedom.
B) results in an equitable personal distribution of income and always maintains full employment.
C) results in price-level stability and a fair personal distribution of income.
D) eliminates discrimination and minimizes environmental pollution.

Question

Quizplus · Accepted Answer

The market system is known for its ability to efficiently allocate resources, as goods and services are produced based on consumer demand and price signals. This system also allows for economic freedom, as individuals and businesses are able to make their own choices and decisions regarding production and consumption. While the market system does not necessarily result in an equitable distribution of income or address issues such as discrimination and environmental pollution, it is still regarded as one of the most efficient and effective economic systems.

Two Major Virtues of the Market System Are That It