Price Determination (L10) Flashcards
1
Q
Equilibrium price
A
A price (marker price) is struck and goods/services are exchanged
2
Q
Why is the bartering system inefficient
A
It takes a lot of time and effort to find traders to barter with
3
Q
Market
A
Anywhere buyers and sellers meet to exchange money for goods
4
Q
An advantage of free market is that
A
Competition between firms can benefit consumers
