Prices Direct Economic Activity in a Market Economy by

question 253

Multiple Choice

Prices direct economic activity in a market economy by

• A) influencing the actions of buyers and sellers.
• B) reducing scarcity of the goods and services produced.
• C) eliminating the need for government intervention.
• D) allocating goods and services in the most equitable way.

---

Definitions:

Babbling

The sounds made by babies before they develop actual language, consisting of repetitive syllables that do not have understandable meaning.

Sign Language

A visual means of communication using gestures, facial expressions, and body language, often used by deaf or hard-of-hearing individuals.

Holophrases

Simple, single-word sentences used by infants that convey a complete thought or request.

Recognizable Words

Words that are identifiable and can be understood in spoken or written form by individuals based on their knowledge of the language.