Market Economies

Characteristics of Market Economies

• Profit
• competition
• Private ownership
• anyone can own a business or start a new carrer
• Consumers
• Business decisions

Profit is made in a market economy by the supply and demand of the people's wants and needs

Competition is the drive to make profits. If there were only one business then the company would not need to lower the prices of their product

Private ownership is in a market economy so anyone can own a business and the government doesn't need to control the economy

Consumers run the economy, it is based off them and their demands. All businesses rely on them to come to their business

It is the owner of a business to decide what they sell and what price the consumers will buy it for if they are wrong then the business will fail

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