Proponents of free market systems argue that free enterprise leads to more efficient production and better response to changing consumer preferences. Others point to the fact that markets are not perfect. Consider both viewpoints and respond to both sides of the issue with your viewpoints.© BrainMass Inc. brainmass.com October 10, 2019, 3:15 am ad1c9bdddf
The market system encourages competition because there is a leveled playing field for both existing and new entrants. The basis of the competition in the market system is the freedom of choice that is exercised in pursuit of a monetary return. In the market system, producers watch the market closely and make decisions on what and how many items to produce based on the demand levels in the market. Therefore, there is a competition between buyers and sellers in the sense that as buyers buy more items, producer react by producing more of the ...
This solution details the advantanges and disadvantages of of a free market system.