Question

Why does the government need to regulate the free market to protect

competition?
A. Producers driven by the profit motive seek to reduce their
competition.
O
B. Foreign producers are able to undersell domestic producers and
drive them out of business.
C.
The government would always have a budget surplus if it didn't
protect competition.
O
D. Competition by itself cannot make companies efficient and
innovative

Answer 1

Producers driven by the profit motive seek to reduce their competition

Step-by-step explanation:

Answer 2

Answer: Producers driven by the profit motive seek to reduce their competition

Explanation: The government need to regulate the free market to protect competition because producers driven by the profits motive seek to reduce their competition. The government needs to regulate the free market to protect competition when companies form monopolies, the consumers enjoy when there is competition among producers of products as there is variety to choose from, reasonable prices would be charged etc.