In this context, the term “Ultimate Economic Decision Maker” refers to the person or persons who decide what to produce, how much to produce, what to pay for the factors of production and how much to charge for the end product. Clearly, the labourer does not decide how much of a product to produce or how much to charge for it, so he cannot be the ultimate economic decision maker. The managing director and his team are often considered as the ultimate decision makers, but this isn’t really true. While, the managing director may make the decisions outlined above, he is answerable to the owners of the business. His decisions affect the profitability of the venture, but if he does a poor job, then he will be replaced. This logic suggests that the owners must therefore be the ultimate economic decision maker. However, this thinking is also flawed, because, while the owners or investors may decide how much to invest, how much to produce etc., the business is dependant on the consumer demanding the product. If the consumer demands more of the product, this affects the decisions of the owners and management team by persuading them to divert increased resources into producing more of the product. If the management team do not do this, and prices rise, this will encourage others to enter the market in competition to the non-responsive business, and prices will again fall. If the consumer demands less of the product or the business produces more than what is demanded, this will persuade the management to divert resources away from this process and divert it into producing a product which is more scarce. Failure to respond will result in losses, threatening the business. The consumer values products according to his needs. He may want ethical, locally produced, environmentally friendly products, but frequently, his own immediate needs outweigh these considerations. He will choose to buy products which meet his most urgent needs at the lowest cost to himself. This is not necessarily financial, but in an exchange economy, the money price paid for a product encapsulates all of the consumer’s considerations. Every business is subject to the whim of the consumer and his individual value system. In a barter economy, each party to an exchange is both a buyer and seller at the same time. Money, acting as a medium of exchange, allows us to blur this reality, but even in this case, it can be seen that if one party to the exchange is selling an undesirable product, then there will not be any exchange. Unions, seeking to prevent their members from redundancy, err by assuming that the decision, to divert resources away from the processes which involve their members, is made by the management alone. The decision essentially lies with the consumer, who no longer demands the product, and the business owners are making the only sensible decision and that is to divert resources to a more productive process. The consumer does not care that the individuals who are employed by business are poor. If he did care, then he might pay more than “market value” for the products. It is the heartless consumer who makes the decision, and the businessman makes the only sensible decision by adjusting production.