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Contrary to the Common Assumption That Market Economies Are Independent

question 46

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Contrary to the common assumption that market economies are independent of governments, they in fact rely on the state in many ways.What are some of the ways that the state is important to the existence of a market economy?


Definitions:

Urban Areas

Areas characterized by higher population density and vast human features in comparison to areas surrounding them.

Vacancy Rate

A measure used in real estate to indicate the percentage of all available units in a rental property, such as apartments or offices, that are vacant or unoccupied at a particular time.

Tax

An obligatory financial contribution or another kind of levy enforced on taxpayers by government entities to support government operations and a range of public spending.

Price Paid

The sum of money given in exchange for a product or service when bought.

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