Price Signals by Austin Yates https://padlet.com/20yateau/7mie5vrwesii D.J. Econ en-us 2019-04-04 12:47:28 UTC 2019-05-28 12:50:08 UTC hello@padlet.com Producers also use prices to appeal to the consumers they hope will buy their products. 20yateau https://padlet.com/20yateau/7mie5vrwesii/wish/348490747 2019-04-04 13:00:27 UTC https://padlet.com/20yateau/7mie5vrwesii/wish/348490747 When the opportunity cost of buying is high, people tend to think carefully before parting with their money 20yateau https://padlet.com/20yateau/7mie5vrwesii/wish/348492137 2019-04-04 13:03:09 UTC https://padlet.com/20yateau/7mie5vrwesii/wish/348492137 Rising prices in a market motivate existing firms to produce more, and they encourage new firms to enter the market. 20yateau https://padlet.com/20yateau/7mie5vrwesii/wish/348493753 2019-04-04 13:06:24 UTC https://padlet.com/20yateau/7mie5vrwesii/wish/348493753 Just as changing prices motivate producers, prices in the form of wages and salaries motivate workers 20yateau https://padlet.com/20yateau/7mie5vrwesii/wish/348494232 2019-04-04 13:07:17 UTC https://padlet.com/20yateau/7mie5vrwesii/wish/348494232 Prices give markets the flexibility they need to reach equilibrium even under changing conditions 20yateau https://padlet.com/20yateau/7mie5vrwesii/wish/348902539 2019-04-05 12:56:49 UTC https://padlet.com/20yateau/7mie5vrwesii/wish/348902539 Prices allow markets to adjust quickly when major events such as wars and natural disasters interfere with the production or movement of goods, wreaking havoc on supply 20yateau https://padlet.com/20yateau/7mie5vrwesii/wish/348903479 2019-04-05 12:58:59 UTC https://padlet.com/20yateau/7mie5vrwesii/wish/348903479 Most important role of price in a market - based economy is to guide resources to their most efficient uses 20yateau https://padlet.com/20yateau/7mie5vrwesii/wish/348904484 2019-04-05 13:01:16 UTC https://padlet.com/20yateau/7mie5vrwesii/wish/348904484 Guided by prices that communicate what consumers want, producers use a scarce resource to make many different products to it's most valued use 20yateau https://padlet.com/20yateau/7mie5vrwesii/wish/348905521 2019-04-05 13:03:49 UTC https://padlet.com/20yateau/7mie5vrwesii/wish/348905521