When profits occur in a competitive market, this indicates that
A) consumers value the goods more than the resources used to produce them.
B) producers value the goods more than the resources used to produce them.
C) producers value the goods more than consumers value the goods.
D) consumers value the goods less than the resources used to produce them.

Question

Quizplus · Accepted Answer

Profits in a competitive market indicate that consumers value the goods more than the resources used to produce them, as they are willing to pay a price that exceeds the cost of production.

When Profits Occur in a Competitive Market, This Indicates That