Free enterprise system an economic system in which the individuals can make their own economic decisions because it is free from government constraints.
Following are the advantages of free enterprise system;
Because of no government restrictions there are more opportunities for the individuals and therefore, there is more potential for private business. Individual ownership on property and means of production is privileged. Moreover, people get the right to participate more in the business structure.
There are also some disadvantages of free enterprises system some are mentioned below;
However, because of the lack of governmental control there are issues of corruption and bribery. The control of the state can go in few hands and economy can move towards monopoly. Furthermore, there are no reforms in the state and income gap increases which paralyze the economy.
Following are the advantages of free enterprise system;
Because of no government restrictions there are more opportunities for the individuals and therefore, there is more potential for private business. Individual ownership on property and means of production is privileged. Moreover, people get the right to participate more in the business structure.
There are also some disadvantages of free enterprises system some are mentioned below;
However, because of the lack of governmental control there are issues of corruption and bribery. The control of the state can go in few hands and economy can move towards monopoly. Furthermore, there are no reforms in the state and income gap increases which paralyze the economy.
