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Price works to convey information and this information helps consumers and producers make decisions.

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Price signals to consumers the opportunity cost of a purchase, and signals to producers what the consumers want.

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Prices function to create an incentive for business to change something in order to profit.

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Changing prices motivate producers, but salary price is able to motivate consumers.

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Prices help the market respond to major events that could interfere with goods and production.

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Prices help to correct both surpluses and shortages.

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One of the most important role of price is to show what the most efficient role is for a product or resource.

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Producers produce more of what makes them a profit and thus tells them which way a product is most efficient for profit.