Capitalist thinkers believe that prices?

Question

a. are necessary to ensure that resources are allocated to their best use.

b. provide no incentives to consumers if set above their maximum buying price.

c. are not necessary for resource allocation, but are one of several possible allocation devices.

d. provide information only to buyers, but not to sellers.

Answer 1

B. a capitalist will try to set the price only as high as the consumers will allow (by not buying their product, they are saying the price is too high).

Answer 2

B