MARKET SYSTEM As a new country called Calibrium, has declared independence from an old Colonial Power. Since, they are independent they will need a good system to make a better society. What kind of system should the society use? What are the advantages of using a particular system? Does it benefit the society? As an economist, I hereby present the Market system to Calibrium. The Market system is the best option for the society because of the features, advantages, and what, how and for whom to produce it.
The Market system is the best option for the society because of the features. There are many producers, sellers, and buyers. More alternative products and services for the consumers to choose from, for example varieties of products in a grocery store. There are the market prices and distribution in all economic resources. People are free to own resources and use them in whatever way they select.
There are reduced role for the government in the economy, which means that low taxes. Profit determines the economic decision-making, means that the higher the profit, the owner will decide to invest more capital on a certain product to earn more profit. Most of the resources or factors of production are owned privately such as private education, private health care, private pensions and insurance, private energy suppliers, private transportation system, private telecommunication companies, private media, and private community services. Consumers and producers will incline to act in such a matter as to endorse their own self-interest. Consumers will buy the products and services that give them the maximum satisfaction, and these products and services will tend to be the profitable to produce.
Free trade is where products are being trade with another country for their products. Consumers and producers have freedom of choice. Consumers are free...