Describes how efficiently the market functions in moving goods
and services through the different stages in the production process to the final destination
the consumer of the end product (see spatial integration).
the number of buyers and sellers, their size distribution, the degree of
product differentiation, and the ease of entry of new firms into an industry.
An adjective which describes the measurement of an economic magnitude in
current prices. The opposite of real.
This is a good or service on which more money is spent on as one's level
of income increases.
The price of a good or service shows what has to be given up in order to obtain a
good or service. Prices act as signals that coordinate the actions of market participants.
Supply and demand conditions are thus reflected in market prices. When market supply is
large compared to demand prices are low. When demand is great relative to supply,
prices are high.
Government managed food reserves also referred to as strategic grain
Average across space.
The degree to which price signals are transmitted between the
different hierarchical levels (processing, transport, and storage), i.e., the different
economic actors of a subsector (consumers, small scale retailers, wholesalers, collectors,
and producers). Common indicators of spatial integration are price margins between pairs
of markets (the more constant these margins the more integrated the markets) and the
coefficients of price correlation between markets (a strong degree of integration is
implied by high coefficients).
This is all aspects of the production through consumption of a particular
commodity (including all aspects of marketing).
Average through time.
Markets that do not have large volumes of trade. The implication is that
there can be large swings in prices (up or down) as a result of increases in supply or
demand. Prices obtained from thin markets are less reliable or informative about market
Those costs other than price which are incurred in trading goods and
services, for example the cost of information and the cost of legalizing transactions.
These costs can be substantial.