Question

In a market economy, decisions about which goods are produced are based

on:
OA. what businesses believe will generate the most profits.
B. what the local community has made for generations.
C. what the government decides is important for society.
O
D. what health care organizations suggest will be best for citizens.
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Answer 1

The correct answer is A.
In a market economy, decisions about which goods are produced are primarily based on what businesses believe will generate the most profits. In this type of economic system, the forces of supply and demand determine the prices and quantities of goods and services that are produced, and businesses are motivated to produce goods that they believe will be profitable.