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MARKET AREA: In general, a geographic area in which a firm can profitably sell an output or buy an input. The size of a market area is based on the transportation cost of the input or output relative to the price. A higher price or lower transportation cost will increase the market area.

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MARKET-CLEARING PRICE

The price that exists when a market is clear of shortage and surplus, or is in equilibrium. Market-clearing price is a common, non-technical term for equilibrium price. In a market graph, the market-clearing price is found at the intersection of the demand curve and the supply curve.

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Today, you are likely to spend a great deal of time at a dollar discount store looking to buy either a battery-powered, rechargeable vacuum cleaner or a remote controlled World War I bi-plane. Be on the lookout for slightly overweight pizza delivery guys.
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Potato chips were invented in 1853 by a irritated chef repeatedly seeking to appease the hard to please Cornelius Vanderbilt who demanded french fried potatoes that were thinner and crisper than normal.
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