Answer-In a market economy

In a market economy, forces of market interact demand and supply to determine prices and prices in turn allocate the economys scarce resources.

Question

In a market economy

A demand determines supply and supply, in turn, determines prices

B supply determines demand and demand, in turn, determines prices

C supply and demand determine prices and prices, in turn, allocate the economy’s scarce resources

D the allocation of scarce resources determines prices and prices, in turn, determine supply and demand

E none of these

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