经济制度论文代写 n a pure market economy, buyer and sellers voluntarily exchange goods and services and resources. The transactions between the buyers and sellers
The Problem of Choosing the Proper Economic System
Key Features of the Pure Market
In a pure market economy, buyer and sellers voluntarily exchange goods and services and resources. The transactions between the buyers and sellers as well as owners of factors of production are not interrupted by the government activities. As such, the government has little if any involvement in a pure market. At the same time, buyers seek to pay the lowest price for the goods and services while sellers wish to sell at the highest prices possible. Therefore, resources are availed to produce products and services that offer the highest returns and greatest satisfaction of human needs. These resources are owned by private individuals who determine their allocation in the production of goods and services.经济制度论文代写
Private businesses are capitalists, and they offer products, services and resources in the market to the highest bidder.The actors in the market are free to enter and exit depending on the profitability, and hence there is a large number of buyers and sellers, and no firm has monopoly position to set prices out of normal market mechanism. The system of money enables prices to be set by forces of demand and supply to avoid inefficiency. Therefore, the pure market is a hypothetical market economy that does not exist in the real world. However, the pure market is used as a benchmark for comparison of the real world economic system. 经济制度论文代写
The two goals desired by the society that the pure market can successfully offer are production and selling of goods and services that serve the needs of the people and fair pricing mechanism. A pure market has free entry and exit to attain the provision of goods and services that serves the needs of the people. It makes the market competitive in providing the best products and services.
As such, consumers get a wide variety of products and hence, exist not a gap in the market. 经济制度论文代写
The inefficiency of one firm is compensated by another firm offering similar or supplementary products to ensure a continuous supply of products in the market. Since the market is competitive, prices are determined by the forces of demand and supply. There is no firm with a monopoly of setting prices in the market. There are also many buyers and sellers who make rational choices. Therefore, the price mechanism offers fair prices to the consumers at the market equilibrium. The goals of the pure market are essential as they are used in other market economies.经济制度论文代写
However, a pure market economy is inefficient in providing fair wages for labour and safe working conditions. As such, government intervention is required. In a pure market economy, sellers and owners of factors of production seek to maximize their profits, and hence, they try to reduce costs. To achieve low-cost productions.They may offer low wages for labour and poor working conditions alias in bourgeoisie and proletarian relationships. As a mitigation factor, government intervention sets minimum wages for labour and introduced the Occupational Safety and Health Act. Which regulate how workers are treated as well as their working conditions. As a result, the pure market turns to be a mixed economy market.