1 / 8

Market in Wheat

Market in Wheat. Role of Buyers and Sellers. SSEMI1b- Role of buyers and sellers in determining price SSEMI1d- Explain how prices serve as incentives. Role of Buyers. Consumers want products at the cheapest possible price.

bozica
Download Presentation

Market in Wheat

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Market in Wheat

  2. Role of Buyers and Sellers SSEMI1b-Role of buyers and sellers in determining price SSEMI1d- Explain how prices serve as incentives

  3. Role of Buyers • Consumers want products at the cheapest possible price. • Consumers decide how much of a certain good they are willing to buy based on price.

  4. Role of sellers • Sellers want to make as much as possible. • Producers must be convinced that their product will make money before they produce it.

  5. Incentives-Prices • People want to save as much money as possible. • They will look for the lowest price. • Producers will not produce a product that does not make them money. • They will only produce when marginal benefit exceed marginal costs Buyers Sellers

  6. Prices • Price is the monetary value of a product as established by supply and demand • Both producer and consumer must agree upon a price, so that both parties benefit.

  7. Voluntary Exchange • Both parties must freely and willingly agree upon exchange • Prices help this exchange take place.

  8. Competition

More Related