Market Context

The concept of a market as an exchange of goods and  services is perhaps the most familiar concept from economics.

Here's the Wikipedia definition:
In mainstream economics, the concept of a market is any structure that allows buyers and sellers to exchange any type of goods, services and information. The exchange of goods or services, with or without money, is a transaction.
In my view, there is a danger with the concept of market that leads us to miss the full impact of market forces.

By definition, market forces shape price, supply, and demands for goods and services.  But their impact is far larger than this.

Market forces lead to a range of incentives and disincentives for a wide range of actions that are independent of the exchange of goods and services.  For example, does a worker arrive early or late to work?  What time does the market open? 

I would label this set of incentives and disincentives that derive from market forces, the market context.

As markets lead to a given supply of goods and services being offered at a market price, market context leads to actions in response.  Some of these actions are investments in the future, some of these actions are buy-actions, and some of these actions are seller-actions.

My main point here is that market forces have a deeper effect than market actions and this full range of effect is characterized by the market context.

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