Individual economic decisions are coordinated by

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Markets coordinate individual economic decisions through adjustments in prices. Prices send signals to both producers and consumers, guiding them to make decisions that benefit the overall economy. When prices rise, producers tend to increase their output, while consumers tend to reduce their consumption. On the other hand, when prices fall, producers tend to reduce their output, while consumers tend to increase their consumption. These adjustments ensure that supply and demand are in balance, and that resources are allocated efficiently.

Individual Economic Decisions Are Coordinated by