In a market economy,_______________ determine(s)which goods and services should be provided and in what quantities.

Question

Quizplus · Accepted Answer

In a market economy, consumers determine which goods and services should be provided and in what quantities through the mechanism of demand and supply. Producers create goods and services which they believe consumers will demand, and prices are set by the interaction of supply and demand. The state, manufacturers, and the ruling class may have some influence on the economy, but ultimately it is the consumers who decide what gets produced and consumed.

In a Market Economy,_______________ Determine(s)which Goods and Services Should Be