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Our economic system provides freedom that allows businesses to _____?

A. Adapt
B. Move overseas
C. Develop inflexible infrastructures
D. Eliminate all corporate taxes

1 Answer

6 votes

Final answer:

Businesses in a market-oriented economy have the freedom to adapt, move overseas, and adopt technologies to minimize taxes.

Step-by-step explanation:

In a market-oriented economy, businesses have the freedom to make their own choices. This includes the freedom to adapt to changing circumstances and market conditions. For example, businesses can modify their products or services to meet customer needs or change their pricing strategies in response to competition. Moreover, businesses also have the freedom to move overseas if they determine it is beneficial for their operations. This could involve opening international branches or relocating their entire operations to another country.

Additionally, businesses have the flexibility to adopt technologies and strategies to minimize their tax burden. Although state or local governments may impose corporate taxes, companies can utilize technology to streamline operations, reduce costs, and possibly minimize tax liabilities.

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