First Assisgnment

2. In the lesson you learned that a market economy is where the prices of services and goods are determined through a free system. Tell what you think an advantage and disadvantage is of this type of economy.
The biggest advantage of free market economy is that it gives the people the power of choice. They have more choices on how to spend their money. There is also no tax on the items and there is no regulation. But the disadvantages are that in can fail to provide certain goods and service. Another disadvantage is that the government doesn’t get any money so prices are raised in some stores.
4).You are now familiar with government and how it plays a role in our economy. What are the advantages and disadvantages of governmental involvement? What changes would you make to improve government’s role?
- An advantage of Governmental involving is that if you get laid off you can get money to help you out from the government. Also all businesses are privately owned and they are able to seek profits in ways that make the best sense for them. Companies are free to pay workers what they choose and workers are free to work where they wish. But the disadvantage is that the government doesn’t give you enough money to make it through. Another problem that can develop is that natural resources, such as minerals, plants, and raw materials, may be reduced or even completely used up. If I could change something I would build more building and make jobs for people who need money the most.