Economics · May / June 2026 · Paper 11 · Question 4
What is the role of the price mechanism in a market economy?
- Ato allocate scarce resources
- Bto increase the provision of merit goods
- Cto make the distribution of goods and services more equal
- Dto reduce the negative externalities of production and consumption
As printed in the paper
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Correct answer: A. to allocate scarce resources
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