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What does "Price Deregulation" in liberalisation mean?

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Question

What does "Price Deregulation" in liberalisation mean?

Options

  • Government fixes prices

  • Prices set by market demand

  • Fixed price for all goods

  • Price control by local bodies

MCQ
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Solution

Prices set by market demand

Explanation:

Price deregulation means prices are determined by market demand, not the government.

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