Interfering with the price mechanism is a violation of a fundamental principle of the market economy.

Question

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The price mechanism is a fundamental principle of the market economy because it helps to allocate resources efficiently by coordinating the decisions of buyers and sellers. Interfering with prices can distort the signals that prices send to the market, leading to unintended consequences such as shortages or surpluses. This is why interfering with the price mechanism is generally seen as a violation of the principles of the market economy.

Interfering with the Price Mechanism Is a Violation of a Fundamental