ECONOMICS (CBSE/UGC NET)

ECONOMICS

ECONOMIC SYSTEMS

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Buyers and sellers make the financial decisions
A
Market
B
Mixed
C
Command
D
Traditional
Explanation: 

Detailed explanation-1: -Stocks are being purchased by corporations and individuals; however, foreigners, hedge funds, institutions and insiders are net sellers.

Detailed explanation-2: -The market establishes the prices for goods and other services. These rates are determined by supply and demand. Supply is created by the sellers, while demand is generated by buyers. Markets try to find some balance in price when supply and demand are themselves in balance.

Detailed explanation-3: -Financial Markets include any place or system that provides buyers and sellers the means to trade financial instruments, including bonds, equities, the various international currencies, and derivatives. Financial markets facilitate the interaction between those who need capital with those who have capital to invest.

Detailed explanation-4: -One of the most important characteristics of a market economy, also called a free enterprise economy, is the role of a limited government. Most economic decisions are made by buyers and sellers, not the government.

There is 1 question to complete.