Question

40 POINTS!!! ONLY 2 QUESTIONS!

1.Explain how government provides certain goods and services in a market economy.
2. What is the role of the government in a market economy?

Answer 1

1. The government provides people things because people give the government money because of taxes.

2. They provide for a stable set of institutions and rules, promote effective and workable competition, correct for externalities, ensure economic stability and growth, and adjust for undesired market results.