Economics 0455 · IGCSE · Market economic system

Market economic system — practice question

What is one major advantage of a market economic system compared with a mixed economic system?

  • AAll production of goods and services is determined by consumer demand.
  • BOwnership of resources is divided between private and public sectors.
  • CProducers include any external costs they create in the price of the good.
  • DThere will always be an even distribution of income and wealth.

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