 |
Definition of 'Price-Taker'
1. An investor whose buying or selling transactions are assumed to have no effect on the market.
2. A firm that can alter its rate of production and sales without significantly affecting the market price of its product.
|
 |
Investopedia explains 'Price-Taker'
1. In the context of the stock market, individual investors are price-takers.
2. Suppose you sell water, which of course is supplied by millions of other places, including the sky. If you decide to set the price of a gallon of your water at $10, you will likely sell nothing because this commodity is readily available elsewhere for a much cheaper price.
|
-
Learn how the economic term "price taker" may separate investors from traders.
Read More »
-
High-quality stock reports needn't be confused with stock manipulators' dramatic claims.
Read More »
-
Even though crashes, corrections and capitulations are bad news for investors holding the stock, there are still ways to profit.
Read More »
-
-
Knowing whether to sell or to hold is tough. And no rule fits all. Find out what to consider.
Read More »
-
Protecting yourself from unscrupulous practices means knowing how to spot them.
Read More »
-
Taking control of your portfolio means knowing what orders to use when buying or selling stocks.
Read More »
-
This tutorial teaches the basics of one of the most important economic topics. A must for all investors.
Read More »
|
|
