The Function of Price in a Market Economy Is to

question 126

Multiple Choice

The function of price in a market economy is to

• A)make producers wealthy at the expense of consumers.
• B)provide information to producers and consumers.
• C)provide a base on which government can build a tax system.
• D)prevent market adjustment from being necessary.
• E)cause consumers to be certain that they desire a product before they buy it.

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Definitions:

Paternity Suit

A lawsuit brought by an unmarried mother to establish that a certain person is the biological father of her child. DNA testing or a comparable procedure is often used to determine paternity.

Foster Care

A temporary arrangement in which a family is paid by the state to care for a child for a limited period of time, often pending adoption.

Temporary Arrangement

A provisional setup intended to serve a purpose for a limited period before a permanent solution is established.

Best Interests

A principle that guides decisions in the legal system, especially in family and child law, ensuring that the outcomes serve the optimal welfare of the individuals involved.