Multiple Choice
The market system communicates changes in market conditions and elicits appropriate responses from businesses and resource suppliers through changes in prices. This is known as the
A) guiding function of prices.
B) monetary function of prices.
C) circular flow of income.
D) market determination of prices.
Correct Answer:

Verified
Correct Answer:
Verified
Q11: Which of the following is necessary to
Q17: The invisible hand refers to the many
Q100: Consumer sovereignty and "dollar votes" guide the
Q248: Broadly defined, competition involves<br>A)private property and freedom
Q249: The following table illustrates alternative production techniques
Q251: Capitalism gets its name from the fact
Q254: The market system<br>A)produces considerable inefficiency in the
Q255: If people tried to produce most of
Q256: In a competitive market economy, firms select
Q257: Profits are the primary "success indicator" for