Final answer:
The statement is true; markets are dynamic and respond to various factors such as marketing efforts, economic conditions, and cultural influences. Economists analyze changing markets using models and statistical tools. Recent changes include the influence of technology and globalization, leading to increased competition.
Step-by-step explanation:
The statement that markets constantly change and are not static is indeed true. Markets evolve, expand, and contract in response to a variety of factors including marketing effort, economic conditions, and cultural influences. This dynamic nature is evident in historical contexts, as seen during the market revolution in the United States, which brought significant social and economic changes.
When analyzing markets, economists tackle the complexity of simultaneously changing factors by using models that can handle multiple variables, and by applying statistical tools to isolate the effects of individual factors on the market. Recent decades have shown that advancements in technology and the impact of globalization are particularly influential, with the internet facilitating a broader scope of competition and interaction in markets. These transformations lead to increased competition among businesses, both locally and globally, changing the way markets are defined and operated.