Question

Choose the incorrect statement in terms of 'features of a market'.

• A. For any market, only the sellers must have knowledge about the market because they sell the goods.
• B. In economic terms, the market does not refer to any particular place or geographical location.
• C. A market refers to a whole area of operation of demand and supply.
• D. There must be a group of buyers and sellers of the commodity to constitute a market.

Answer 1

The correct option is A For any market, only the sellers must have knowledge about the market because they sell the goods.

In economic terms, the market does not refer to any particular place or geographical location. It refers to a whole area of operation of demand and supply.
There must be a group of buyers and sellers of the commodity to constitute a market. And the relations between these sellers and buyers must be business relations.
Both the sellers and buyers must have knowledge about the market. There should be an awareness of the demand for products, consumer choices, preferences, fashion trends, etc.
Hence, option 1 is wrong.