In a market economy, prices are established by
A) consumers and labor unions.
B) decree of government agencies.
C) the interaction of supply and demand.
D) businesses that buy and sell the products.

C)the interaction of supply and demand.

Explanation:

This interaction of supply and demand and the effect it has on price is a basic characteristic of a market economy. Government does not set price requirements in a market economy.

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c. pro-democracy demonstrations.