Legal Definitions - market price

Definition: The market price is the current price at which a good or service is being sold in the market. It is determined by the forces of supply and demand.

Example: The market price of a gallon of milk is $3.50. This means that this is the price at which the milk is being sold in the market currently.

Explanation: The example illustrates that the market price is the price at which a good or service is being sold in the market. In this case, the market price of a gallon of milk is $3.50, which means that this is the price at which the milk is being sold in the market currently. The market price is determined by the forces of supply and demand, which means that if there is a high demand for milk and the supply is low, the market price of milk will increase. On the other hand, if there is a low demand for milk and the supply is high, the market price of milk will decrease.