Which statement best describes the result of competition among businesses?
A) It ensures that everyone is a winner.
B) It drives higher quality and lower prices in capitalism.
C) It is a primary feature of a communist economic system.
D) It is consistent with the goals of socialism.

Question

Quizplus · Accepted Answer

Competition among businesses in a capitalist economic system drives higher quality and lower prices as companies strive to attract customers and outsell their competitors. This is known as the invisible hand of the market, where self-interest and competition lead to an efficient market and allocation of resources. The other choices are incorrect; everyone cannot be a winner in a competitive market, competition is not a primary feature of communism, and while socialism values equality, it does not necessarily prioritize competition among businesses.

Which Statement Best Describes the Result of Competition Among Businesses