All of the following statements describe a market economy except:
A) Government prescribes the market prices for goods and services
B) Prices provide important signals to buyers and sellers
C) The allocation of resources is determined by their prices
D) The actions of buyers and sellers establish a product's price

Question

Quizplus · Accepted Answer

In a market economy, prices are determined by the actions of buyers and sellers, not by government prescription.

All of the Following Statements Describe a Market Economy Except