10
QuizMultiple Choice

Competition and Free Enterprise — Unit test

Question 10 • 2102320-Economics HONORS - Edgenuity Teacher

What kind of economy uses a free-enterprise system?

Answer
A
a closed economy
B
a command economy
C
a market economy
D
a traditional economy

Explanation

A free-enterprise system lets individuals and businesses make most economic decisions, with prices shaped largely by supply and demand. This describes a market economy. A command economy relies on government direction, while traditional economies follow longstanding customs.

AI-written and checked against the verified answer.

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