Types of market; In economics, a market is a place where buyers and sellers come together to exchange goods and services for a price. This can refer to physical locations, such as a farmer’s market or a stock exchange, or it can refer to virtual or online spaces where buyers and sellers connect, such as e-commerce websites or social media platforms.
Markets are a fundamental concept in economics, as they determine the price of goods and services based on the interaction of supply and demand. Prices rise when demand is high and supply is low, and prices fall when supply exceeds demand. Market competition can drive innovation and efficiency as companies strive to offer the best goods and services at the lowest price.
There are many different types of markets, including perfect competition, monopoly, oligopoly, and monopolistic competition, each with its own characteristics and implications for market behaviour and economic outcomes.
DEFINITION OF MARKET
What is the market? A market may be defined as any system or arrangement by which persons and institutions are brought into contact to exchange goods and services.
- explain the concept of the market and distinguish it from the marketplace.
- Distinguish between perfect and perfect markets by being able to identify their features.
- Draw graphs to illustrate price and quantity determination under
- Perfect competition
In other words, a market is a point of place of any means of communication whereby sellers and buyers can communicate with one another, to exchange goods at prices determined by the market forces.
TYPES OF MARKET
The market can be grouped on the basis of the type of commodities purchased and sold or on
the channel of movement of finished products from the producers to consumers, or on the basis of prices.
Types of markets according to commodities sold in them.
- Money market: The money market is the type of market for short-term loans. It consists of Institutions or individuals who either have money to lend or wish to borrow on a short-term basis.
- Capital market: A capital market is a market for medium-term and long-term loans. It serves the needs of industries and the commercial sector. It comprises all institutions which are concerned with either the supply of or demand for long-term loans.
- Consumer goods market: The consumer goods market is the type in which finished products ready for use by consumers are sold and bought.
- Primary products market: This is the type of market in which primary products in their raw forms are sold and bought. Factor market: This is the type of market in which the factors of production are sold and bought.
- Factor market: This is the type of market in which the factors of production are sold and bought.
- Foreign exchange market: This is a market which deals with foreign exchange transactions and it involves the buying and selling of foreign currencies.
- Labour market: The labour market is the type in which workers and employers are in close contact for the purpose of rendering services.
- Stock exchange market: This is a market where investors can buy and sell existing securities like shares, stock and debentures. That is, it is a market where those who are interested in the purchasing of securities are brought into contact with the sellers.
Types of market according to the channel of distribution
- Wholesale market: This is the type of market in which a trader called a wholesaler buys commodities in large quantities from the manufacturer and sells in small quantities to the retailer
- Retail market: This is the type of market in which a trader known as a retailer buys commodities from the wholesaler and sells in bits to the final consumer.
- Types of the market according to price
The types of markets based on the prices of commodities are grouped into two: perfect market and imperfect market.
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- RINDER PESTS
148. NEWCASTLE DISEASE
149. BACTERIA DISEASES
153. FUNGAL DISEASES