What is the role of social safety nets in a market economy?

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What is the role of social safety nets in a market economy?

The role of social safety nets in a market economy is to provide a safety net for individuals and families who may face economic hardships or vulnerabilities. These safety nets are designed to ensure that basic needs such as food, shelter, healthcare, and education are met for those who are unable to afford them on their own. Social safety nets aim to reduce poverty, inequality, and social exclusion by providing assistance and support to those in need. They also help to stabilize the economy by reducing the negative impacts of economic downturns and promoting social stability.