Economics: Principles, Problems, and Policies, 19th Edition

Published by McGraw-Hill Education
ISBN 10: 0073511447
ISBN 13: 978-0-07351-144-3

Chapter 2 - The Market System and the Circular Flow - Questions - Page 44: 6b

Answer

Competition is necessary in this system because, by creating competition, businesses are forced to compete with each other to give the lowest price and/or to offer the best product.

Work Step by Step

Competition is necessary in this system because, by creating competition, businesses are forced to compete with each other to give the lowest price and/or to offer the best product.
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