Question

Competition among economic units ______. Multiple select question. should not occur within a market system diffuses economic power within the businesses and households that make up the economy. implies that producers can enter or leave an industry is not congruent with the concept of self-interest

Answer 1

The Competition among economic units diffuses economic power within the businesses and households that make up the economy.

What is Economy?

Economy refers to the area or the region which produces the goods and services. It implies to the wealth and the resources of the nation. It involves the management of the finances. for example :- the stock market system of the United States.

The competition among the business leads to the innovation of the new products and the services which in turn is beneficial for the customers. It diffuses the economic power as the income earned gores in the market and the household.

Thus it helps in the economic growth of the nation. Therefore the correct option is diffuses economic power within the businesses and households that make up the economy.

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