Asked by Chaya Kohsuwan on Jun 30, 2024
Verified
The market system's answer to the fundamental question "How will the system accommodate change?" is essentially
A) "Through government leadership and direction."
B) "Through the guiding function of prices and the incentive function of profits."
C) "Through training and retraining programs."
D) "Through trial and error."
Guiding Function Of Prices
The role of prices in signaling to both buyers and sellers about the relative scarcity or abundance of goods and services, thus guiding their economic decisions.
System Accommodate Change
A system's ability to adjust or adapt to changes in its environment or operations, ensuring continued functionality or efficiency.
- Examine how consumer preferences influence resource distribution and output configuration within a market economy.
Verified Answer
ZK
Zybrea KnightJul 04, 2024
Final Answer :
B
Explanation :
The market system accommodates change through the guiding function of prices and the incentive function of profits, which signal to producers and consumers how to adjust their behavior in response to changes in supply and demand.
Learning Objectives
- Examine how consumer preferences influence resource distribution and output configuration within a market economy.
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