Over the last few decades, television programming in the United States has become available through a number of services such as cable, satellite, and the Internet. How does this trend demonstrate an effect of the free enterprise system?
Options:
A. Higher capital costs have resulted in more investment opportunities.
B. Increased government regulation has led to higher prices.
C. Increased market competition has resulted in more chaices for consumers.
D. Stronger copyright laws have limited access to new shows.
C. Increased market competition has resulted in more choices for consumers.
C. Increased market competition has resulted in more choices for consumers.
The trend of television programming becoming available through various services like cable, satellite, and the Internet demonstrates an effect of the free enterprise system by increasing market competition. As more services and platforms enter the market, they compete with each other to attract consumers, leading to a wider range of choices for viewers. This competition promotes innovation and encourages providers to offer diverse programming options and improve their services to remain competitive.
The correct answer is C. Increased market competition has resulted in more choices for consumers.
To understand why this answer is the best choice, let's break down the other options and see why they are incorrect:
A. Higher capital costs have resulted in more investment opportunities: This option implies that the increased availability of television programming is a result of higher capital costs. However, this is not necessarily true. While it is true that the costs of producing and distributing television programming have increased, it doesn't directly lead to more investment opportunities. This option focuses more on the financial aspect rather than the effect on consumers.
B. Increased government regulation has led to higher prices: This option suggests that increased government regulation is the cause of higher prices. However, there is no direct causal relationship between government regulation and price increase. Furthermore, it doesn't address the availability of television programming and the choices for consumers.
C. Increased market competition has resulted in more choices for consumers: This option correctly identifies the impact of the free enterprise system on television programming. With the rise of cable, satellite, and internet services, there has been an increase in competition among providers. This competition has led to more options and variety in terms of television programming, giving consumers a greater choice in what they can watch.
D. Stronger copyright laws have limited access to new shows: This option suggests that stronger copyright laws have limited access to new shows. However, this is not the case. While copyright laws protect intellectual property rights, they don't directly limit access to new shows. In fact, with the rise of streaming services and on-demand platforms, new shows are more accessible than ever before.
In conclusion, the trend of television programming becoming available through various services is a result of increased market competition, providing consumers with more choices. This demonstrates one of the effects of the free enterprise system.