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In a free market, prices lead to an efficient allocation of resources. in other words, _____.

User Seether
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Answer:

Resources are used in the most productive way, based on the needs of consumers and producers

Step-by-step explanation:

As resources are scarce relative to the insatiable demands of human wants, economies are concerned with basic questions of allocation. ... In a market, resources are allocated based on the demand/supply in which prices plays an signalling function as it allocates resources to the production of different types of goods.

User Mentos
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