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http://2bfdf14d316f1749a1df-206e607ecad192b1bd995b22ef2fc7b1.r97.cf1.rackcdn.com/A%20Price%20Is%20a%20Signal%20Wrapped%20up%20in%20an%20Incentive.mp4

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Prices Allocated Scarce Resources Efficiently 

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Prices Allocated Scarce Resources Efficiently 

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Guiding resources to their most efficient use. Basically whatever is going to be the highest price with highest demand will get the most of the scarce resource.

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Gas is a major incentive because,no matter the price, if you own a car you will need gas. No matter how high the price gets, you will need to work to be able to supply your car with gas.

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Prices can adjust quickly to economic disasters such as war or destruction.

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"Prices are like messengers conveying the news" Gives producers and consumers information about a product.

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Prices Create Incentives to Work and Produce

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Prices Create Incentives to Work and Produce

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Based on the incentives matter principle because growing prices serve as the incentive to make more. Falling prices make people cut back on production

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One incentive to work would be to be able to afford unneeded items such as makeup.

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He is a social reformer, that so happened ended up in the email for Padlet. He would hate this economic because in his Utopian society everyone shared everything.