Question

1. the ______ system gives both producers and consumers important information they use in making decisions about how to allocate their resources and is determined by forces of supply and demand. options: raw materials, price, profit, none of the above

Explanation:

To solve this, we analyze each option:

• "raw materials" are inputs for production, not a system giving info on resource allocation via supply - demand.
• "price" system: Prices are determined by supply and demand. Producers use prices to decide production levels (resource allocation), and consumers use prices to decide purchases (resource allocation of their money).
• "profit" is the result of revenue - cost, not a system determined by supply - demand for resource allocation info.
• "none of the above" is incorrect as "price" fits.

Answer:

B. price