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Economics · Oct / Nov 2025 · Paper 13 · Question 4

2281Price determination

What is not a function of prices in a market economy?

  1. Aprices allow income to be distributed equally
  2. Bprices ration scarce resources among economic agents
  3. Cprices rise and fall to reflect shortages and surpluses
  4. Dprices send information to consumers and producers

As printed in the paper

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Correct answer: A. prices allow income to be distributed equally

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