Synopsis
Excerpt from Price Determination Processes<br/><br/>Terms used in the title may bring different concepts to the minds of different individuals. The definitions of these terms as used in this section follow: Price discovery refers to a process by which buyers and sellers arrive at a specific price. A buyer or seller may have no control, little control, or great control over the price arrived at, but in all cases the process will involve an attempt to discover the best price for the particular conditions, including those of place and time, under which the buyer and seller find themselves. Price determination deals with the theory' of pricing and the manner in which economic forces in?uence prices under various market structures and over various periods of time. Mechanisms refers to institutions, structural arrangements, and tools used by participants in the process of price determination. They are part of the price discovery process.
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Price Determination Processes: Issues and Evaluation (Classic Reprint)
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