Introducing the Market Economy
In This Chapter
- From feudalism to capitalism
- Adam Smith and the self-regulating market
- Opportunity costs: making choices with limited resources
- The benefits of trade
- The efficient market
The market system that prevails throughout the world today is a far cry from the environment from which it emerged. We take for granted that there are small businesses and large corporations. People go to work every day to earn a living and, one hopes, to get some satisfaction from their labors. Advanced transportation and communication facilitates trade as businesses interact freely across the globe. They strive to gain ...