Which of the following is TRUE regarding markets? I) Economists define a market as a geographic location where trade occurs.
II) A market enables buyers and sellers to get information about each other and to buy and sell from each other.
III) Markets coordinate decisions through prices.
A) I only
B) I and III
C) II and III
D) I, II and III

Question

Quizplus · Accepted Answer

II and III are true. Markets are not just defined by geographic locations but by any arrangement that enables buyers and sellers to exchange goods and services. They indeed facilitate information exchange and coordinate decisions through prices.

Which of the Following Is TRUE Regarding Markets? I) Economists