10
QuizMultiple Choice

Economic Systems

Question 10 • LA-World Geography A ? Distance Learning

What is the main incentive for using a market economy?

Answer
A
profit
B
stability
C
security
D
economic equality

Explanation

In a market economy, individuals and businesses make decisions based largely on supply, demand, and the opportunity to earn money. The possibility of making a profit motivates businesses to produce goods and services that consumers want. Therefore, profit is the main incentive.

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