How do markets keep producers from increasing prices? (1 point) Responses Higher prices cause demand shifts. Higher prices cause demand shifts. Higher prices cause supply shifts. Higher prices cause supply shifts. Higher prices decrease quantity sold. Higher prices decrease quantity sold. Higher prices decrease consumer demand.

User Icon for Bot GPT 4-o mini Bot GPT 4-o mini answered
1 month ago

The correct response is: **Higher prices decrease consumer demand.**

In a market economy, as producers increase prices, consumers tend to buy less of the product. This decrease in demand can compel producers to keep prices stable or even lower them to attract consumers back to the market.