Homework Question on Competitive Market
- Based on your understanding of competitive market based on the text’s definition of market structure, explain how competitive markets impact the US economy. Comments: “Microeconomics
Homework Answer on Competitive Market
The United States has been committed to promoting market competition as the principle organizer of the modern free market economies. A vigorous market rivalry enhances consumer welfare and efficiency, improves growth, and makes economies more innovative and competitive. Therefore, the situation for the U.S market competiveness has risen significantly for the last two decades.
There is a rapid introduction of new markets into the world economy, and global corporations are being restructured to influence new opportunities. The developing value of services, intangibles, and modernization has changed the competitiveness setting for the United States economy, companies, and workers. As numerous individuals in developing economies are entering global trading system, more consumer markets and labour pools have been opened.
The dominated developed markets on advanced technology have come to an end, as rising economies have quickly enhanced their technological competence, thus dominating exports of higher technology products. Emerging opportunities for consumers and personnel in the developing countries are encouraging rapid development in international corporations. This has driven their advancement to actual global enterprises, thus facilitating them to offshore diverse corporate activities.