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A market economy is best described as an economy that:

OA. gives businesses complete freedom to produce and sell what they
want.
OB. gives jobs to all citizens regardless of their preferences or abilities.
OC. gives both businesses and the government a role in economic
decisions.
O D. gives the government complete control over production and prices.

User HenningJ
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1 Answer

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Final answer:

Option A best describes a market economy, where businesses have complete freedom to produce and sell what they want, guided by the laws of supply and demand, with minimal government interference.

Step-by-step explanation:

A market economy is an economic system where decisions regarding investment, production, and distribution are based on supply and demand, and prices of goods and services are determined in a free price system. This contrasts with a command economy, where these decisions are made centrally by the government.

In a market economy, also known as a capitalist or free-enterprise economy, private individuals and firms have the autonomy to make economic decisions such as what to produce, how to produce, and at what prices to sell their goods and services. The major characteristics of such an economy include economic freedom, competition, voluntary exchange, and the enforcement of private property rights. This system gives businesses more freedom but does not guarantee jobs for all citizens nor does it give the government complete control over production and prices.

As the original question seems to align with the description of a market economy, the answer would be Option A: Giving businesses complete freedom to produce and sell what they want, within the bounds of law and private property rights.

User Mwek
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