Markets Around Us Flashcards
(21 cards)
What is a market?
A market is a place where buyers and sellers come together to exchange goods and services.
True or False: A market can only be a physical location.
False
Fill in the blank: The __________ is a type of market where goods are sold directly from producers to consumers.
direct market
What are the two main types of markets?
The two main types of markets are local markets and global markets.
Multiple Choice: Which of the following is an example of a local market? A) Online shopping B) Farmers’ market C) Stock market
B) Farmers’ market
What role do middlemen play in a market?
Middlemen facilitate the exchange of goods between producers and consumers.
True or False: Markets can exist without money.
True
Fill in the blank: In a barter system, goods are exchanged for __________.
other goods
What is the purpose of a market?
The purpose of a market is to connect buyers and sellers to facilitate the exchange of goods and services.
Multiple Choice: Which of the following is NOT a factor that influences market prices? A) Supply B) Demand C) Weather
C) Weather
What is demand?
Demand refers to the quantity of a product that consumers are willing and able to purchase at different prices.
True or False: An increase in supply will generally lead to higher prices.
False
Fill in the blank: __________ is the amount of a product that producers are willing to sell at different prices.
Supply
What is the relationship between supply and demand?
The relationship between supply and demand determines market prices and the quantity of goods sold.
Multiple Choice: What happens when demand exceeds supply? A) Prices decrease B) Prices increase C) Prices remain the same
B) Prices increase
What is a global market?
A global market is an international marketplace where goods and services are traded across countries.
True or False: E-commerce is an example of a modern market.
True
Fill in the blank: In a __________ market, prices are determined by the forces of supply and demand.
free market
What do we call the situation when there is a surplus of goods?
A surplus occurs when supply exceeds demand.
Multiple Choice: Which market is characterized by many buyers and sellers? A) Monopoly B) Oligopoly C) Perfect competition
C) Perfect competition
