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What is the role of consumers, businesses, and government in a market economy

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User Burna
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Consumers - It is throught the processes of demand and supply that the prices are inflated or deflated.Thus,consumers play an important role in a market economy as they help in determining the prices of various commodities.


Business-More the large scale business,more will be the commodity,more will be the supply,and hopefully more will be the demand.More number of firms leads to competition and strugle for better quality goods at lower prices.


Government- Through necessary ammendments in taxation and policies government plays an important role in determining the prices of intermediate as well as final goods.It also affects the salary and wages of employees.


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User Nwwatson
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