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NAME DATE CLASS Guided Reading Activity The American Free Enterprise System Lesson 2 Roles and Responsibilities in a Free Enterprise Economy Review Questions Directions Read each main idea and answer the questions below. Refer to your textbook as you write the answers. A. Main idea Entrepreneurs are vital to the success of a free enterprise economy because they start businesses. Why do entrepreneurs try to start businesses or develop new products Are they more likely to succeed or fail Copyright McGraw-Hill Education* Permission is granted to reproduce for classroom use. Who benefits from the activities of entrepreneurs and how B. Main idea Consumers tell businesses WHAT to produce in our economy. Why is the customer always right Explain how consumer sovereignty helps drive progress. C. Main idea In our mixed free-enterprise economy the government helps oversee production protects consumer and business rights and acts as consumer. 1. How does the government act as protector of the econ....

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  2. Begin by filling in the fields for your name, date, and class at the top of the form. Ensure your information is accurate and clearly written.
  3. Navigate through each main idea section, starting with entrepreneurs. Answer the questions that follow each main idea, making sure to refer to your textbook for thorough responses.
  4. Next, move to the consumer section and answer the related questions, providing thoughtful explanations as required.
  5. Continue to the government section, where you will address the government’s role in the economy. Answer each question based on your understanding and research.
  6. Lastly, tackle the reflection section by summarizing how entrepreneurs, consumers, and government interact in the economy.
  7. Once you have completed all sections, review your answers for clarity and completeness.
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basic principles: (I 1 freedom of choice; (2) private property rights; (3) profit motive of owners; and (4) owner control. In the United States, there are three basic types of business firms - individual- ly owned, partnerships, and corporations.

Free enterprise in economics refers to the private sector that operates at will without government interference. Also referred to as free trade and free-market enterprise, this means an economy where companies can trade, operate, and set prices without restrictions.

The U.S. economy is a free enterprise system. That means that individuals — and not the government — own most of our country's resources. Free enterprise also means that supply and demand determine how our resources are used.

The five main characteristics of a free enterprise are freedom of choice, competition, little government intervention, private ownership, and self-interest.

a free enterprise economy or system is the same as a market economy. In a market economy, individuals depend on supply, demand, and prices to determine the answers to the four economic questions of "what to produce," "how to produce," "how much to produce," and "for whom to produce."

The key ingredient of the free enterprise system is the right of individuals to make their own choices in the purchase of goods, the selling of their products and their labor, and their partici- pation in business structure.

The U.S. economy is a free enterprise system. That means that individuals — and not the government — own most of our country's resources. Free enterprise also means that supply and demand determine how our resources are used.

The U.S. economic system of free enterprise has five main principles: the freedom for individuals to choose businesses, the right to private property, profits as an incentive, competition, and consumer sovereignty.

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