Economics 0455 · IGCSE · The role of markets in allocating resources

The role of markets in allocating resources — practice question

For health reasons, consumers choose to eat more vegetables and less meat. What price signals would the market system transmit to reallocate resources so that consumers obtain what they want?

  • Aprice of vegetables decrease, price of meat decrease
  • Bprice of vegetables decrease, price of meat increase
  • Cprice of vegetables increase, price of meat decrease
  • Dprice of vegetables increase, price of meat increase

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