Which statement best describes a pure market economy? a. producer intervention in economic choices is strictly forbidden. b. the government determines economic choices and makes most decisions. c. the decisions made by producers and consumers drive all economic choices. d. producers and consumers make some economic choices while the government makes others.

The decisions made by producers and consumers drive all economic choices.

the answer is: must pay taxes on profits

since it is considered as a part of your income, profits from investments is eligible for tax payment.

the tax from your investment could be influenced by how long you decided to sell it. united states promotes keeping your investment for long term period. so, the tax rate for investments that you sell in less than one year is typically higher compared to investments that you sell in more than one year period.