New incentive profit encourages the business to be more efficient Competition lowers prices Individuals have more capital than the government Business decisions are for efficiency, not government popularity Privatisation raises money for the government Cons:
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Free IGCSE Economics Revision Notes that will help you in revising for your exams.
Also, check out our other helpful revision resources for IGCSE Economics. ECONOMICS CHAPTER 1- INTRODUCTION TO ECONOMICS Assumed 3 decision makers- consumers (households) – that sell land, labour, capital & entrepreneurship and firms- that pay rent, wages, interest and profits (rewards for above factors of production) firms then use the factors to produce G/S in return for payment from consumer.
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