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d2jsp Forums > Off-Topic > General Chat > Homework Help > Basic Economic Question, Who Decides What To > Produce In A Price System?
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Jan 28 2014 04:03pm
Who decides what to produce in a price system?

pretty sure its the sellers?

but sorta not the sellers? they just sell it.

this isnt too in depth of a question though.

so its sorta the sellers and buyers both decide in a way, cause price signaling?
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Jan 28 2014 05:59pm
Quote (noob_whacker @ Jan 28 2014 06:03pm)
Who decides what to produce in a price system?

pretty sure its the sellers?

but sorta not the sellers? they just sell it.

this isnt too in depth of a question though.

so its sorta the sellers and buyers both decide in a way, cause price signaling?


In a purely fixed price system, the government decides what will be produced and in what quantity.
In a purely free price system, these questions are decided solely by the market.

Disclaimer: I don't recall the technical definition of price system ^_^
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