The major virtues of the market system include all of the following, except
A) it promotes an eﬃcient allocation of resources.
B) it leads to equality in the distribution of income.
C) it provides incentives for greater production and higher incomes.
D) it emphasizes the freedom to pursue self-interest.

Question

Quizplus · Accepted Answer

The market system does not necessarily lead to equality in the distribution of income. In fact, it often results in income inequality as those who are more productive or have skills that are in high demand can command higher wages. While the market system does promote an efficient allocation of resources, provides incentives for greater production and higher incomes, and emphasizes the freedom to pursue self-interest, it does not necessarily promote equal distribution of income.

The Major Virtues of the Market System Include All of the Following