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From course:

Economics A Level

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Question:

What is the Price Mechanism? Make an Example with Curtains - Demand Increaases

Author: go kys



Answer:

-This will Allocate Goods as how an 'Invisible Hand' will do so, until Equilibrium is Reached. -Free from Human Bias and Opinion, it helps Buyers and Sellers make their own Decisions -Demand Increases for Curtains means the Market, via the Price Mechanism, will give more Resources and thus more Curtains to Buyers, More Labour & Resources to Producers to make more Curtains.


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go kys
go kys