Economics 9708 · AS & A Level · 7.6

7.6 — practice question

Which of the following is not a role that prices perform in a perfectly competitive market economy?

  • Ato provide a rationing mechanism for allocating goods between consumers
  • Bto provide incentives to producers to respond to changes in consumer demands
  • Cto provide information to consumers about the quality of different products
  • Dto provide information to producers about changes in consumer preferences

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