Businesses seeking higher profits and resource suppliers seeking higher incomes lead to changes in the allocation of resources among different firms and end up with
A)consumers at the losing end.
B)output that society wants.
C)unnecessary conflict and turmoil.
D)a need for government action.

Question

Quizplus · Accepted Answer

When businesses seek higher profits and resource suppliers seek higher incomes, it leads to a more efficient allocation of resources. This efficiency results in the production of goods and services that are in demand by society, hence leading to an output that society wants. This process is guided by market signals and consumer preferences, ensuring that resources are used where they are most valued.

Businesses Seeking Higher Profits and Resource Suppliers Seeking Higher Incomes