3.

Draw Inferences. The reading says that the relative ease with which

entrepreneurs can enter and leave markets is a benefit of the free enterprise

system of the United States. Could the same statement be made about a

country with a command economy? Why or why not? What implications

does that have for the law of supply in that country?

Question

History

Elliot

20 March, 12:29

3.

Draw Inferences. The reading says that the relative ease with which

entrepreneurs can enter and leave markets is a benefit of the free enterprise

system of the United States. Could the same statement be made about a

country with a command economy? Why or why not? What implications

does that have for the law of supply in that country?

+5

Answers (1)

Know the Answer?

Carsen Griffith · Answer 1

A command ecomony is "commanded" by the government. If one individual had the power to just enter and leave the economy, it really wouldn't be a command economy anymore, because the entrepenueurs have the power and not the government.

If entrepeneurs can enter and leave, they dramatically change the supply and demand by lessening supplies on one side and increasing supplies on another.