Lionel Messi’s FC Barcelona salary for 2015 is estimated at €40 million. The average salary in Ireland in 2015 was €32,500.
Calculate:
1. The average weekly salary for Messi.
2. The average weekly salary for an average Irish employee.
3. The difference between the two average weekly salaries.
The effect of demand and supply on market prices A
Go to page 215 of your Activities and Accounts Book to determine the impact on prices in different markets due to changes in demand and supply.
The Black Market
The market in which goods and services are sold and bought illegally is known as the black market.
The products exchanged on the black market are usually in scarce supply but in high demand. For example, tickets for a sold-out All-Ireland final could be resold on the black market at prices much higher than the original price.
Black market products may be illegal, such as drugs or weapons.
The black market can impact demand and supply in legal markets. For example, if consumers buy pirated films, then legal sales of films in the entertainment and media market will decrease.
An individual who buys goods or services on the black market is not protected by consumer laws.
The government cannot collect taxes on goods and services that are bought and sold on the black market. This has a negative impact on the economy as there is less money available to meet government expenditure.
