Which of the following best describes the global market in the context of economics?

• A. It only includes government transactions between nations.
• B. It consists of potential customers and businesses from all over the world who engage in the exchange of goods and services.
• C. It refers exclusively to the trade of agricultural products worldwide.
• D. It is limited to domestic buyers and sellers within a single country.

Answer: (B)

Verified step by step guidance

1. Step 1: Understand the concept of a 'global market' in economics. The global market refers to the international arena where buyers and sellers from different countries engage in the exchange of goods and services.
2. Step 2: Recognize that the global market is not limited to government transactions; it includes private businesses and consumers as well.
3. Step 3: Note that the global market is not restricted to any specific type of product, such as agricultural goods, but encompasses all kinds of goods and services.
4. Step 4: Understand that the global market is broader than a domestic market, which only involves buyers and sellers within a single country.
5. Step 5: Conclude that the best description of the global market is that it consists of potential customers and businesses from all over the world who engage in the exchange of goods and services.