MBA备考商务英语泛读文选(19)

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MBA备考商务英语泛读文选(19)

Mixed Economy A mixed capitalist economy also allows the freedom to start a business.10 Freedom of enterprise means that businesses and individuals with the capital may enter essentially any legal business venture they wish. This important feature of capitalism permits individuals to seek out profit-making business opportunities. Under capitalism, any business or individual can earn a profit by producing a useful good or service. However, businesses and individuals do not have an automatic right to profit. Profit is a reward to a business for using scarce economic resources efficiently. Consumers must consider a good or service reasonable in price, quality, and value before a profit can be made. Competition is yet another important part of capitalism. In general, competition refers to the rivalry among businesses for consumer dollars. Because of competition for consumer dollars, businesses have to be aware of what consumers want to buy. If they ignore consumer wishes, they are likely to lose sales, which directly affect the level of profit. A business that consistently loses money and makes no profit will fail. Consequently competition among businesses generally provides consumers with lower prices, more services, and improved products. The 1980s fare wars in the airline industry illustrate how fierce competition among businesses can grow, The American economic system is "mixed capitalism." It became mixed , when government established operating guidelines and laws for businesses to follow. For example, one important federal law requires a variety of safety rules to be followed on construction jobs. An economic system also becomes mixed when government competes directly with business. This often happens in such areas as medical research, electric power generation, and communication. The U.S. Postal Service is an example of a government business that competes with private businesses such as Federal Express and United Parcel Service.(接下文) (未完待续)

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