The idea that in a market system the consumer determines what is to be produced is called:
A)consumer monopoly.
B)habeas corpus.
C)consumer sovereignty.
D)business sovereignty.
E)caveat emptor.

Question

Quizplus · Accepted Answer

Consumer sovereignty refers to the idea that in a market system, the preferences and choices of consumers determine what goods and services are produced and how resources are allocated. As consumers make purchasing decisions based on their subjective preferences, businesses aim to produce and offer products that are most in demand to maximize profit. Therefore, the market system is said to be shaped by the principle of consumer sovereignty.

The Idea That in a Market System the Consumer Determines