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How price mechanism helps us make decisions. Producers and consumers react to incentives.
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How do we decide what to buy with a limited budget? How do we decide what to produce with limited resources? Well, prices force us to make a choice.
Теги:
economics microeconomics macroeconomics free market allocative efficiency AP Economics demand supply price mechanism economics tuition a level economics a-level economics price incentives price incentive profit motive invisible hand allocative resources
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