0
In a perfect free-market economy, price is determined by supply and demand.
Wiki User
∙ 14y ago
Add your answer:
Earn +20 pts
What is the difference in job security under a communist state and a free market economy?
Communism has no state and no concept of a job. People will do work that they find fulfilling and useful. In a so-called free market economy, people are at the mercy of the market and their employer’s need for profit, and so have little real job security.
How much is a 250 watt amp worth?
Two bucks!!! It's worth whatever someone is willing to pay for it, just like anything else in a free market economy.
What two economies are widespread in the Middle East?
Free-economy and command-economy.
Who created the largest free-market zone in the world?
The North American Free Trade Agreement created the largest free-market zone in the world. (I looked it up in my History book!) :)
How do you say Free in Japanese?
If talking about price you can say: "Muryou" or "Tada"
What are the components of a free market economy?
A free market economy is a market based one. The prices of goods and services are determined independently in a free market.
Which of the following is another term for a market economy?
A market economy, also widely known as a "free market economy," is one in which goods are bought and sold and prices are determined by the free market, with a minimum of external government control.
Why is the price system so important to a free market economy?
The price system is so important to the free market economy because the price system allows a company to compete within the market by setting a price that is fair for consumers and the provider. A fixed price system causes the market to fail if prices of supplies rise.
What set price in a free market economy?
The cost of production of an item & its demand set its price
Does Ecuador have a command economy?
a good one, kinda raffael correa is the president
In a free market economy the optimal QUALITY of goods and services is determined by?
The cost of output in relation to revenue.
How does the price system in a free market economy react to shortage of commodity?
Higher prices
What is canadas economy based on?
A free market economy
What terms are associated with a market economy?
Free market economy is a free market system in which decisions regarding resource allocation,production, and consumption, and price levels and competition, are made by the collective actions of individuals or organizations seeking their own advantage.In all market economies, however, freedom of the markets is limited and governments intervene occasionally to encourage or dampen demand or to promote competition to thwart the emergence of monopolies. Also called free economy, free market, or free market economy.
What are the merits and demerits of free market economy?
what are the merits and demerits of free market economy
What is a market economy based on?
A market economy is an economy in which decisions regarding investment, production and distribution are based on market determined supply and demand. Prices of goods and services are determined in a free priced system
What is the opposite of free market?
A free market economy
