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The Market Is Effectively Able to Allocate Goods to Their

Question 220

Multiple Choice

The market is effectively able to allocate goods to their highest-valued uses because:


A) consumers will only purchase the good if its value is greater than its price.
B) government intervention keeps prices consistent with their market value.
C) suppliers will only produce goods for which the cost of production is less than the price.
D) consumers have a great incentive to conserve goods for future use.

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