Market Flashcards
1
Q
What is the definition of a market?
A
A place or situation where buyers + sellers meet to exchange goods + services
2
Q
How can you exchange goods + services in a market?
A
Money- via the price system
Barter
3
Q
What is market equilibrium?
A
It is the price where the quantity supplied equals the quantity demanded. The market is cleared. At this point combined produces profits and consumer satisfaction is maximised.
4
Q
How can a market be a place?
A
It is any market that there is physical face to face interaction with buyer + sellers.
5
Q
How is a market a situation?
A
It is a market that you can exchange goods or services without physically meeting each other. eg. internet - Trademe, NZX, amazon Postal Services - mail order Telephone - land line or cellphone Texting
6
Q
What are types of money to exchange goods + services?
A
Cash or cheque EFT Pos Debit Cards Credit Card Internet banking
