Types of Markets

Question 1

What is a market

Answer 1

• An area where physical and/or non-physical commercial transactions are conducted
• Provides a platform for exchanges of goods, services and money

Question 2

Types of markets

Answer 2

• retail market
• labour market
• financial market
• stock market

Question 3

What is a retail market and an example

Answer 3

• Where there is the buying and selling of goods and services
• Involves the exchange of goods and services for money or other goods and services
• e.g. shopping malls, shopping websites, kiosks

Question 4

What is a labour market and an example

Answer 4

• Where wages are set through forces of supply and demand
• High demand for labour means wages are higher
• Involves the exchange of labour for money
• e.g. surgeons

Question 5

What is a financial market and an example

Answer 5

• Where financial securities are bought and sold
• Involves the exchange of financial assets for money
• E.g. banks, investment firms

Question 6

What is a stock market and an example

Answer 6

• Where stocks are bought and sold
• Involves the exchange of stocks for other stocks or money
• E.g. the stock exchange