Which of the following factors drives market prices?

Market prices are influenced by a variety of factors, and government policy and international trade play a crucial role in this dynamic. Government policies, such as fiscal and monetary measures, can affect interest rates, inflation, and overall economic growth, which in turn impact market prices. For instance, changes in tax laws or government spending programs can alter investor expectations and shift capital flows.

Additionally, international trade is a significant factor as it determines the flow of goods, services, and capital across borders. Changes in trade agreements, tariffs, and global economic conditions can influence the competitiveness of domestic products, thus affecting corporate earnings and stock prices. Overall, the interplay between government decisions and global market dynamics significantly drives market prices.

The other options may suggest factors that influence market prices, but they do not encompass the broader and more systemic influences that government policy and international trade provide, which are foundational to understanding price movements in financial markets.