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oee [108]
3 years ago
14

Why are entrepreneurs considered both spark plugs and catalyst of the free enterprise economy?

History
2 answers:
joja [24]3 years ago
7 0

Entrepreneurs are the main actors in a free market economy. The main feature of this type of economy is that the state does not control economic production (as they do in planned economy models), companies are free to produce and market goods and services. That is why entrepreneurial activities are so essential as they generate new firms that will supply new products and compete with each other through prices in the goods and services market. Thus the role of the entrepreneur is twofold, he acts as an entrepreneur in firms, generating employment and producing goods and services but he is also a consumer of these goods and services. Without entrepreneurial initiatives, free-market capitalism would not flourish as it is.

Alla [95]3 years ago
3 0
<span>economic system with a central authority that makes the major economic decisions</span>
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