Which of the following is true of a market?

Question

Quizplus · Accepted Answer

The price acts as a selection device for buyers and sellers in every market. This means that buyers and sellers are drawn to a market because of the price at which goods and services are offered. The high price of a good or service in a particular market may deter buyers from purchasing, while the low price may attract more buyers than sellers. Therefore, the price mechanism plays an important role in determining supply and demand in the market. Option A is incorrect because not all markets require continuous surveillance and government control. Option B is also incorrect because markets do not always require a specific physical location. Option C is incorrect because goods and services are not always exchanged at fixed prices in all markets.

Which of the Following Is True of a Market