Why is it important that prices are flexible in our economy? Do you think the government should control the level of prices for products that are really important, ie. gasoline?
Flexible pricing means a situation where in the market product prices are negotiable. This gives consumer a chance to pay a price that reflects the product value. It is important to have flexible prices in our economy due to various reasons such as; Helps marketers and producers to set the favorable items for products depending on the current market demand and supply. For example if a product has a high demand, the producers may increase the bid and produce the product in large quantity so as to make a lot of profit…..