Part A — 📘 Textbook Exercise: Questions & Answers

1) What are the main features of a market? Share observations from a recent visit.

2) Relevance of Adam Smith’s epigraph.

3) If guava prices are good, what will a farmer do next season?

4) Match the markets with their characteristics.

5) Examples where prices are high despite few buyers — why?

6) Why did the family pay ₹40/kg for beans in a super bazaar instead of ₹30 on the cart?

7) Tomato gluts lead to waste—why? Role of wholesalers? Solutions?

8) School carnival/fair — activities & negotiation.

9) Five products & certification logos—why might some lack logos?

10) Designing a soap label—what to include?

Part B — 🎯 One-Word Answer Questions (10)

1. Who sells in bulk to retailers? — Wholesaler
2. Who sells to final consumers? — Retailer
3. Food safety mark on packaged foods? — FSSAI
4. Energy star rating agency? — BEE
5. Quality mark for agricultural produce? — AGMARK
6. Indian standards mark on appliances? — ISI
7. Warehouse for perishables? — Cold storage
8. App/site pooling sellers and deliveries? — Aggregator
9. Women-run market in Imphal? — Ima Keithel
10. Price discovery is guided by demand & ______. — Supply

Part C — ✍️ Fill in the Blanks (10)

1. Markets can be physical or online.
2. Prices in markets are shaped by demand and supply.
3. A big storage building for goods is a godown.
4. FSSAI certifies safety of packaged foods.
5. AGMARK applies to agricultural products.
6. Electronics show energy stars issued by BEE.
7. In online trade, the pooling platform is an aggregator.
8. Ima Keithel is a market run entirely by women.
9. Surat is famous for its textile (and diamond) industry.
10. Minimum crop prices set by the government are called MSPs.

Part D — ✅ True/False with Brief Explanations (10)

1. All markets require buyers and sellers to meet physically. — False. Online markets enable virtual transactions.
2. Retailers usually sell in bulk to other sellers. — False. That’s the wholesaler’s role; retailers sell to consumers.
3. Prices can change during the day in fresh produce markets. — True. Perishability + changing demand cause late-day discounts.
4. FSSAI marks appear on refrigerators to show efficiency. — False. Energy efficiency stars are from BEE; FSSAI is for foods.
5. Government may fix minimum prices for some crops. — True. MSP prevents distress sales by farmers.
6. International markets involve only services, not goods. — False. Exports/imports include both goods and services.
7. Wholesalers help smoothen supply by storage and distribution. — True. They aggregate, store, and allocate stock.
8. AGMARK is for electronics. — False. It is for agricultural products.
9. Markets can build long-term social relationships. — True. E.g., family grocer, tailor, jeweller.
10. Online reviews cannot help in judging quality. — False. Reviews/ratings often guide consumer choice.

Part E — 🪄 Very Short Answer Questions (10) — 2–3 lines

1. What is a market?
   Any platform—physical or online—where buyers and sellers agree on a price and exchange goods/services.
2. How do bargaining and posted prices differ?
   Bargaining is a negotiated price; posted price is fixed (typical in malls/online).
3. Define wholesaler and retailer.
   Wholesaler sells in bulk to businesses; retailer sells small quantities to final consumers.
4. What is an aggregator?
   An online platform that lists many sellers, stores goods, and delivers to buyers.
5. Why are evening prices lower in mandis?
   Fresh produce is perishable; sellers clear stock as demand drops.
6. State two government roles in markets.
   Price regulation (ceilings/floors) and enforcing quality/safety standards.
7. Name four quality marks.
   FSSAI, ISI (BIS), AGMARK, BEE star rating.
8. What are public goods?
   Non-excludable services like roads/parks/policing that governments provide.
9. Why is Surat a hub?
   Historic port links, skilled clusters, and huge textile/diamond ecosystems.
10. How do markets signal consumer preferences?
    Rising demand and better prices push producers to make preferred variants.

Part F — ✨ Short Answer Questions (10) — 3–4 lines

1. Explain demand and supply with an example.
   When many buyers want guavas (high demand) but sellers bring few (low supply), price rises. If supply increases later, price can fall toward an agreed level.
2. How do wholesalers stabilise markets?
   They bulk-buy, store (including cold storage), and reallocate to retailers/regions, reducing waste and smoothing temporary gluts or shortages.
3. List key label elements on a food pack.
   FSSAI no./logo, net quantity, MRP, batch, mfg/best-before dates, ingredients, allergens, nutrition panel, maker address & helpline.
4. Domestic vs. International markets.
   Domestic trade is within India; international crosses borders (imports/exports) with customs, forex, and global logistics.
5. Three non-price reasons buyers choose a supermarket.
   Hygiene/packaging, trust & returns, convenience (parking, digital billing, one-stop shopping).
6. How do online platforms change supply chains?
   Manufacturers send stock to aggregator warehouses; orders placed on apps; platform handles packing, delivery, returns, and reviews.
7. Role of government in externalities.
   It regulates pollution-heavy goods/processes (e.g., single-use plastics), sets standards, and monitors compliance to protect health and environment.
8. Why is energy labelling useful?
   BEE stars show electricity use; more stars = lower bills and lower environmental impact—helps informed buying.
9. How do markets promote culture?
   Places like Ima Keithel blend livelihoods with traditions—food, crafts, attire—building community ties alongside trade.
10. What happens when MSP is too low or too high?
    Too low: farmers lose incentive to produce; too high: consumers/taxpayers bear costs or markets distort—so balance is essential.