A market system is characterized by the private ownership of resources and the use of markets and prices to coordinate and direct economic activity.

Question

Quizplus · Accepted Answer

A market system is a type of economic system in which resources are owned by private individuals or companies rather than the government. In such a system, prices and markets play a key role in directing economic activity, with buyers and sellers interacting to determine the prices of goods and services. This contrasts with systems based on central planning or state ownership of resources, in which the government plays a more direct role in directing economic activity.

A Market System Is Characterized by the Private Ownership of Resources