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Problem

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question

How does the price mechanism act to conservethose productsand resources which are most scarce?

category

economics

options

  1. The price mechanism guarantees an equal distribution of scarce resources among consumers.
  2. The price mechanism ensures that scarce resources are only used by the government.
  3. The price mechanism has no effect on the conservation of scarce resources.
  4. The price mechanism leads to a rapid depletion of scarce resources due to increased demand.
  5. The price mechanism caps the price of scarce resources to make them affordable.
  6. The price mechanism reduces the production of scarce resources.
  7. The price mechanism discourages consumers from buying scarce resources.
  8. The price mechanism allocates scarce resources to the highest bidders, regardless of the conservation status.
  9. The price mechanism induces consumers to search for substitutes, an act which will tend to conserve the scarce resource.
  10. The price mechanism encourages overuse of scarce resources.

src

stemez-Economics

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