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Which of the Following Statements About Markets Is Correct? I

question 104

Multiple Choice

Which of the following statements about markets is correct? I. A market helps resources move to their highest-valued uses by means of prices.
II) A market encompasses the exchange arrangements of both buyers and sellers.


Definitions:

Physical Products

Tangible items that are manufactured, sold, and physically handled by the consumer, in contrast to services or digital goods.

Raw Materials

Basic substances in their natural, modified, or semi-processed states used as inputs for production.

Distribution

The process of making goods or services available to consumers through various channels.

Downstream Activity

Processes in the supply chain that occur after the production phase, such as distribution, marketing, and sales to the end consumer.

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