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3 years ago

The market mechanism benefits society by ensuring that ________.

2 answers:

8 0

The market mechanism benefits society by ensuring that: <span>scarce resources are channeled into products most desired by society
Market mechanism determines which products stays or go by relying purely on the force of supply and demand. If the products are desired by the customers, the producer will always keep up with the demand in order to rake in the potential profit.</span>

podryga [215]3 years ago

5 0

The market mechanism benefits the community where the public can know the price of the product by the demand and supply so that the community can determine what products will be purchased in which the market mechanism will make the demand and supply prices balanced.

<h2>Further Explanation </h2>

The market mechanism is the tendency in a free market for a price to change until the market becomes balanced (the amount offered is the same as the amount requested).

1. Request

Demand is the desire of consumers to buy an item at various price levels over a certain period, which is accompanied by a willingness and ability to buy the item.

The law of demand reads: "The higher the price of an item, the less the number of goods requested or sold and vice versa".

2. Offer

Offer is the number of goods that producers want to offer (sell) at various price levels during a certain period.

The law of the offer reads: "if the price goes up, then the amount offered also goes up and vice versa".

Strengths and weaknesses of the market mechanism

1. Strengths

The Market Can Give More Correct Information.
Developing Business Activities.
Acquire Modern Expertise.
Production Efficiently and efficiently.
The market provides high freedom.

2. Weaknesses

Unlimited freedom oppresses certain groups.
Economic Activity Is Very Unstable.
Market Systems Can Cause Monopoly.
Market mechanisms cannot provide certain types of goods efficiently.
consumer and producer activities might cause adverse "externalities".

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definition of The market mechanism brainly.com/question/4608480

Strengths and weaknesses of the market mechanism brainly.com/question/4608480

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Grade: High School

Subject: Business

keywords: The market mechanism

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The correct answer would be, Greg's next step is to roll out his Tactical Goals to his staff.

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3 years ago

g A price ceiling that is set below the equilibrium price _____ . Group of answer choices causes suppliers to lose money creates

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Answer:

creates a shortage

Explanation:

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1. It leads to shortages

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3 years ago

Describe the nature and types of businesses.

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Answer:

The nature of business is a statement about a company's offering to its clients, its industry, legal structure, or any other distinctive qualities of the business. For example, if you say a company in the “private sector”, you evaluate the nature of the company based on its nature to earn profits.

Explanation:

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3 years ago

"Sydney has a portfolio with 50 shares of AAA with a current value of $20 per share, a return of 12%, and a beta of 1.30. She al

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Answer: 12.72%

Explanation:

Given the following information ;

50 Shares of AAA at $20 and expected returns of 12%

25 Shares of BBB at $60 and expected returns of 10%

75 Shares of CCC at $50 and expected returns of 14%

Total value of the portfolio ;

Total Portfolio Value = ( 50×20 ) + ( 25×60 ) + ( 75×50 )

= 1000 + 1500 + 3750 = $6,250

Weight of each share in the portfolio;

Weight of Stock AAA = ( 50×20 ) / 6250 = 0.16

Weight of Stock BBB = ( 25×60 ) / 6250 = 0.24

Weight of Stock CCC = ( 75×50 ) / 6250 = 0.60

Expected return on portfolio is calculated thus;

Expected Portfolio Return = ( Weight of AAA×Expected Returns ) + ( Weight of BBB×Expected Returns ) + ( Weight of CCC×Expected Returns )

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Expected portfolio return = (0.0192+0.024+0.084) = 0.1272

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