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nexus9112 [7]
3 years ago
13

In a free competitive market what is the rationing mechanism

Business
1 answer:
enot [183]3 years ago
6 0
A competitive market has many producers competing with one another to satisfy the wants and needs of many consumers. In a free competitive market, the prices of goods and services are set by the consumers and supply and demand aren't regulated by the government. Knowing this, in a free competitive market the rationing mechanism is based on price.
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Suppose there is a simultaneous increase in the demand for rice and increase in the supply of rice. Which of the following will
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