When price helps Jaime decide to purchase a Chevrolet Cavalier instead of a Mercedes because she also wants a Harley-Davidson motorcycle,price serves the function of
A) demander.
B) decision maker.
C) facilitator.
D) intermediation.
E) allocator.

Question

Quizplus · Accepted Answer

Price serves as an allocator by helping Jaime allocate her limited resources to purchase the Chevrolet Cavalier and the Harley-Davidson motorcycle instead of the more expensive Mercedes.

When Price Helps Jaime Decide to Purchase a Chevrolet Cavalier