Which of the following best describes a part of the consumerism cycle involving manufacturers?

• A. Manufacturers set government policies on spending.
• B. Manufacturers produce goods to meet consumer demand.
• C. Manufacturers determine the level of household savings.
• D. Manufacturers act as final consumers in the market.

Answer: (B)

Verified step by step guidance

1. Understand the consumerism cycle, which involves the flow of goods and services between manufacturers, consumers, and sometimes the government.
2. Identify the role of manufacturers: they are primarily responsible for producing goods and services based on consumer demand.
3. Recognize that manufacturers do not set government policies or determine household savings; these are outside their direct role in the consumerism cycle.
4. Note that manufacturers are producers, not final consumers; final consumers are typically households or individuals who purchase goods for personal use.
5. Conclude that the best description of the manufacturer's role in the consumerism cycle is that they produce goods to meet consumer demand.