Prices,and ultimately wages,are controlled by _____.
A) collective bargaining
B) administrative orders
C) the government
D) the market

Question

Quizplus · Accepted Answer

Prices and wages in a market economy are primarily determined by supply and demand, which is controlled by the market. In a market economy, firms compete to provide goods and services to consumers, and this competition helps to determine the price of those goods and services. Firms also compete to hire workers, which helps to determine wages. While the government or collective bargaining can have some influence on prices and wages, they are not the primary determinant in a market economy. Administrative orders can also have an impact on prices and wages in certain sectors or industries, but they are not a general control.

Prices,and Ultimately Wages,are Controlled by _____