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» Economics » Topics begins with M » Market shakeout


Page modified: Friday, June 23, 2006 20:29:03

By market shakeout one understands a process in the economic science, with which the number of the offerers in a market is reduced.

The market shakeout is a market mechanism, which eliminates the situation of an offer in excess. Some offerers produce goods, which are too expensive or for other reasons (outdated technology or organization, which does not meet the Nachfragergeschmack) not to be sold can. These offerers disappear then from the market, are it, because they are bought up by other offerers, because they withdraw themselves from the market and only in other markets offer or because them announce insolvency.


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