In a market economy, the decision regarding allocation of resources is made by
A)the operation of the forces of supply and demand.
B)policy authorities in Washington, D.C.
C)budget planners in state capitals.
D)committees from a variety of economic interest groups.
E)All of the responses are correct.

Question

Quizplus · Accepted Answer

In a market economy, decisions regarding allocation of resources are made through the interaction of buyers and sellers in the marketplace, based on the forces of supply and demand.

In a Market Economy, the Decision Regarding Allocation of Resources