Question

· Decentralized decision making.

Answer 1

The correct answer is option B. Market. Some of the characteristics of a market economy include decentralized decision making, this is to say that people and business acts upon their own economic interests.

A market economy also adjusts to changes in the market place. This adjustment is done gradually and is a consequence of the freedom that the economic players posses. The last characteristic of a market economy is that producers and consumers have control of the economy. This is probably the main characteristic that defines a market economy, in which the laws of supply and demand direct the production of goods and services. Therefore it is correct to say that these products and services have control over the economy.