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lesson pretestMultiple Choice

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Question 1 • CMS 2026-2027 Economics and Personal Finance CREDIT RECOVERY

In a free enterprise system, governments address public problems through policy to ensure that

Answer
A
citizens' needs are met and protected.
B
the nation's level of productivity remains steady.
C
workers earn more than workers in other countries.
D
economic operations of businesses are controlled.

Explanation

In a free enterprise system, businesses make most production and pricing decisions, while government policy helps address problems the market may not solve on its own. These policies aim to protect the public and meet citizens’ needs, so choice D is correct. The government does not generally control all business operations, as choice C suggests.

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