Overview
Goods markets and factor markets are essential components of the economy. Goods markets focus on the buying and selling of finished products, while factor markets deal with the resources needed for production, such as labor and capital. Understanding these markets helps individuals and businesses ma...
Key Terms
Example: Buying a smartphone at a store.
Example: Hiring a graphic designer.
Example: The number of cars available at a dealership.
Example: The number of people wanting to buy a new video game.
Example: Gas prices increasing during a shortage.
Example: The price of bread stabilizing when supply meets demand.
Related Topics
Microeconomics
The study of individual markets and consumer behavior.
beginnerMacroeconomics
The study of the economy as a whole, including inflation and unemployment.
intermediateMarket Structures
Different types of market environments, such as perfect competition and monopoly.
intermediateConsumer Behavior
How consumers make decisions about purchasing goods and services.
beginnerKey Concepts
Goods MarketFactor MarketSupply and DemandPrice Mechanism