Free Enterprise System
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characteristics of free enterprise
The system has four characteristics: economic freedom, voluntary exchange, private property, and the profit motive. The free enterprise system may also be referenced as capitalism or the free market system.
economic system
Economic systems are organized sets of procedures used within communities or between communities to govern the production and distribution of goods and services.
free enterprise
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."