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Consider the following statements:
1. Chain of markets is a series of markets in which products pass from one market to another.
2. The people in between the producer and the final consumer are the traders.
3. The trader who finally sells products to the consumer is called the wholesale trader.
Which of the statements given above is/are correct?
  • a)
    1 and 2 Only
  • b)
    2 and 3 only
  • c)
    1 and 3 only
  • d)
    1, 2 and 3
Correct answer is option 'A'. Can you explain this answer?
Verified Answer
Consider the following statements:1. Chain of markets is a series of ...
  • Chain of markets is a series of markets that are connected like links in a chain because products pass from one market to another Goods are produced in factories, on farms and in Homes.
  • The people in between the producer and the final consumer are the traders. The wholesale trader first buys goods in large quantities. For example, the vegetable wholesale trader will not buy a few kilos of vegetables, but will buy in large lots of 25 to 100 kilos.
  • These will then be sold to other traders. In these markets, buying and selling takes place between traders. It is through these links of traders that goods reach faraway places. The trader who finally sells this to the consumer, is the retailer.
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Most Upvoted Answer
Consider the following statements:1. Chain of markets is a series of ...
Explanation:
In the given statements, statement 1 and statement 2 are correct, while statement 3 is incorrect. Let's discuss each statement in detail:

Statement 1: Chain of markets is a series of markets in which products pass from one market to another.
This statement is correct. A chain of markets refers to the movement of products from one market to another. It involves various stages, starting from the producer to the final consumer. Each market in the chain plays a specific role in the distribution process.

Statement 2: The people in between the producer and the final consumer are the traders.
This statement is also correct. In a chain of markets, the people involved in the intermediate stages between the producer and the final consumer are the traders. These traders facilitate the movement of goods by buying from one market and selling to another. They may include wholesalers, retailers, distributors, and other intermediaries.

Statement 3: The trader who finally sells products to the consumer is called the wholesale trader.
This statement is incorrect. The trader who finally sells products to the consumer is called the retailer, not the wholesale trader. A wholesale trader is involved in buying goods in large quantities from the manufacturer or wholesalers and then selling them to retailers or other businesses.

Conclusion:
Based on the explanation above, we can conclude that statement 1 and statement 2 are correct, while statement 3 is incorrect. Therefore, the correct answer is option 'A' - 1 and 2 Only.
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Consider the following statements:1. Chain of markets is a series of markets in which products pass from one market to another.2. The people in between the producer and the final consumer are the traders.3. The trader who finally sells products to the consumer is called the wholesale trader.Which of the statements given above is/are correct?a) 1 and 2 Onlyb) 2 and 3 onlyc) 1 and 3 onlyd) 1, 2 and 3Correct answer is option 'A'. Can you explain this answer?
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