Economics-Chapter 3: The role of markets

• market


  a way of bringing together buyers and sellers to buy and sell goods and services
• market economy


  an economy in which which scarce resources are allocated by the market forces of supply and demand
• Primary Sector


  The direct use of natural resources including the extraction of basic materials and goods from land and sea
• secondry sector


  All activities in an economy concerned with either manufacturing or construction
• Tertiary Sector


  All activities in an economy that involve the idea of a service
• product market


  Where final goods and services are sold to consumers, businesses and the public sector
• factor market


  Where the services of the factors of production are bought and sold
• specialisation


  The process by which individuals, firms, regions and countries concentrate on producing those products that they are best at doing
• exchange


  The giving up of something that an individual or firm has in return for something they wish to have but do not possess