THE ECONOMIC COMPASS

Every morning, millions of Americans wake up and begin making economic decisions. They purchase coffee, fill their vehicles with gasoline, shop for groceries, and head to work. Businesses open their doors, entrepreneurs pursue new ideas, and consumers choose where to spend their hard-earned money. But have you ever stopped to consider who coordinates all this economic activity? Who decides how much bread a grocery store should stock? Who determines which restaurants succeed and which ones...

Why does a carton of eggs cost $2 one month and $5 the next? Why do airline tickets become more expensive as a flight fills up? And why can a product that sells for hundreds of dollars today be found on clearance for half the price just a few months later? Who actually decides what something is worth? At first glance, the answer seems simple: businesses set prices. After all, when you walk into a grocery store, the price is already printed on the shelf. But there's a much bigger economic...