The market system is an economic system that:
A) Produces more consumer goods than capital goods
B) Produces more capital goods than consumer goods
C) Gives private individuals the right to own resources used in production
D) Emphasizes the government's power to control markets and direct economic activity

Question

Quizplus · Accepted Answer

The market system, also known as capitalism, is characterized by private ownership of resources and the means of production. This means that private individuals have the right to own and control resources such as land, labor, and capital goods, and are free to use these resources to produce goods and services for sale in the market. The market system emphasizes the role of market forces such as supply and demand in determining the allocation of resources and the prices of goods and services.

The Market System Is an Economic System That