L1: Market Flashcards
1
Q
What is a market
A
A place or situation where buyers and sellers of G/S come together to exchange G/S
2
Q
What is the definition of price (selling price)
A
The rate of exchange of the G/S that is being sold
3
Q
Definition of Products
A
A good (A physical, tangible product like food or a car)
4
Q
Definition of Services
A
An intangible product like bus rides or finance advice
5
Q
What happens in a market
A
The products will only be sold if the buyer and seller believe they will be better off
6
Q
What is Price Mechanism
A
How supply+demand influences price of G/S which then coordinates the way productive resources are allocated
7
Q
What type of market is the Aus Market
A
A contemporary market-based capitalist eco/eco system
