Question

Business cycles occur in free enterprise systems because

Answer 1

Answer:Why do business cycles occur in free enterprise systems?

A.because the efficiency of workers is not the same from season to season, but fluctuates on a regular basis annually

B.because the standard of living is very high

C.because the government creates public policy to create cycles

D.because economic decisions about factors such as prices, production, and consumption are determined by the market

Explanation: Correct in GradpointD.because economic decisions about factors such as prices, production, and consumption are determined by the market

Student Selected Correct

Answer 2

Answer: Business cycles occur in free enterprise systems because all economic factors are determined by the market.

Explanation: The economic decisions that are determined by the market are price, production and consumption. Price refers to the price of the good or service being sold. Production refers to the amount of items that are produced and how production lines are focused. Consumption is used to describe how much of something is being used by another person.