Question

Even through the United States is traditionally viewed as a market economy, what role does the government have in the economy?

A. The government is in charge of setting the prices within the economy.
B. The government is in charge of the taxing and spending of the government.
C. The government has no role within the market economy of the United States.
D. The government is to make sure that there is fairness and equity within all markets of the economy.

Answer 1

the answer is B. The government is in charge of the taxing and spending of the government.

Answer 2

D. The government is to make sure that there is fairness and equity within all markets of the economy.

Step-by-step explanation:

The USA is a predominantly free-market economy. Entrepreneurs are free to decide where and the nature of the business to set-up. Buyers have the liberty to purchase from their preferred suppliers. Demand and supply forces determine the goods and services to be availed in the market and their prices.

The US government participates in the economy as a regulator. Its primary role is to promote fair competition among suppliers, guard consumers against unfair exploitation by traders, and safeguard worker interest. The government may provide essential public services such as roads, health, and education but the majority of factors of production are in the private sector.