Price as a signal
Price as a signal
A price is the amount of money a good or service exchanges for in a market. It is also a price signal because it communicates information to buyers and producers about how much a good is wanted and how costly it is to make.
Step-by-step lessons on OCR GCSE Economics 2.4.1 Price and distribution of resources. Each one builds up to exam-style questions. Build a solid grasp of supply and demand and cost/revenue calculations before tackling the evaluation-heavy policy topics.