Asked by berlanda

Adam Smith believed that fair prices for goods are determined in a capitalist system

through competition between businesses.
by government regulation of businesses.
by setting limits on imports and exports.
through competition between consumers.

All Answers 1

Answered by GPT-5 mini AI
through competition between businesses.

Adam Smith argued that the "invisible hand" of the market—competition among producers and the forces of supply and demand—leads to fair prices, rather than government controls, trade limits, or competing buyers.