Select the phrase that best describes the benefits and drawbacks of a market based economy.
A. Businesses make decisions about what to sell competition can cause a business to fail.
B. Services are directed by customers businesses will not have a large profit.
C. A country may have many valuable resources. These resources are controlled by a centralized power.
D.The market is mostly free of government intervention. The government can slowly start to take more control.
To select the phrase that best describes the benefits and drawbacks of a market-based economy, let's analyze the options given:
A. This option highlights the benefit of businesses making decisions about what to sell, but also mentions the drawback of competition potentially causing a business to fail.
B. This option mentions that services are directed by customers, which is a benefit, but also states that businesses will not have a large profit, which can be seen as a drawback.
C. This option talks about valuable resources being controlled by a centralized power, which is more related to a centrally planned economy rather than a market-based economy. Therefore, it is not directly addressing the benefits and drawbacks of a market-based economy.
D. This option mentions the benefit of the market being mostly free of government intervention, but also brings up the drawback of the government gradually increasing its control.
Based on the analysis, option A appears to be the most accurate and concise description of the benefits and drawbacks of a market-based economy.