The economic system/ of the United States is/ capitalism./ In the American economy,/ most businesses are/ privately owned./ Competition/ and profit motivate/ businesses./ Businesses/ and consumers interact/ in the marketplace,/ where prices can be/ negotiated./ This is called/ a “market economy./”

In a market economy,/ businesses decide/ what to produce,/ how much to produce,/ and what to charge./ Consumers decide/ what,/ when,/ and where they will buy/ goods/ or services./ In a market economy,/ competition,/ supply,/ and demand influence/ the decisions/ of businesses and consumers./