A market consists of all individuals and firms who are both willing and able to buy or sell a specific product at a given time and place. It includes current market participants and potential buyers and sellers who may enter the market. A market consists of all firms and individuals who are willing and able to buy or sell a particular product at a given time and place. This includes both current and potential buyers and sellers.

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A Market

Question 8

Multiple Choice

A market:

A) consists of all firms and individuals willing and able to buy or sell a particular product at a given time and place.
B) is confined to individuals and firms currently engaged in buying and selling a particular product.
C) describes the competitive environment in the market for any good or service.
D) is limited to individuals or firms posing a sufficiently credible threat of market entry to affect the price/output decisions of incumbent firms.

Correct Answer: