What is one reason why pure market economies are non-existent?
A) They result in very high tax rates that undermine incentives.
B) They don't adequately provide for the sick, the elderly, and the environment.
C) They are too expensive to maintain.
D) They don't do enough to encourage entrepreneurship.

Question

Quizplus · Accepted Answer

Pure market economies rely solely on supply and demand to determine prices and allocate resources. This often results in neglect of social welfare, environmental issues, and the needs of the sick and elderly. As a result, most modern economies incorporate some form of government intervention to address these concerns.

What Is One Reason Why Pure Market Economies Are Non-Existent