Characteristics
The government has an active but restricted economic role.
What is Limited Government?
Suppliers know when to raise or lower pricing. Businesses adjust to avoid inefficiencies.
What is Efficient Resource Allocation?
Economic products and services are privately held.
What is Private Ownership?
Free markets promote competition. The government doesn't regulate, making market entry and departure simpler for enterprises.
What is Competition?
Their markets for these goods and services are open. Consumers can choose products that meet their demands.
What is Free Enterprise & Freedom of Choice?
Sellers are driven by the need to generate profit. As a result, they create new techniques of production.
What is Increased Efficiency?
This economic rivalry allows buyers and sellers to enter or quit any market. Companies hound for clients by offering their products and services at the lowest price while still making a profit.
What is Competition?
Business owners are free to choose their hours of operation, business terms, prices, policies, and products or services to offer.
What is freedom of choice and operation?
Consumers want the most from their money. Entrepreneurs seek maximum profits. Workers seek high incomes and salaries. Capital resource owners attempt to rent or sell at the highest price.
What is the Motive of Self-Interest?
Consumers are provided with many alternatives because the government does not restrict markets.
What is product variety?