Benefits And Desadvantages Of A Free Enterprise Economic System

Benefits and desadvantages of a free enterprise economic system

 

The benefits we can get from free enterprise economic system is that we can have more business, no one will control the proliferation of your business as long as you adhere laws that regulates businesses like for an instance, compliance of Department of trade and industries requirements, paying taxes, compliance of sanitary laws, labor laws etc. and if your business engage in partnership and corporation you need to register the name to security and exchange commission. All of this are government regulations to those operating business. Another benefit is, you can own the whole profits of your business, you can plan, produce more goods, own more private property and nobody can stop you this as long as you do it legally.

The disadvantage of free enterprise is that, rich become richer and poor become poorer why because only rich people can play in market, most rich people engage in big business. Rich people are able to buy more private properties, more cars. in other countries this things are regulated but in our case here in the Philippines, we are free to do trading.