Black market Meaning: Definition, Examples, and Translations
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black market
[blæk ˈmɑːrkɪt ]
Definition
illegal trading
A black market is an illegal system of buying and selling goods, usually in violation of government regulations. It operates outside the formal economy and is characterized by the absence of taxation, regulation, or oversight.
Synonyms
illegal trade, shadow economy, underground market.
Which Synonym Should You Choose?
| Word | Description / Examples |
|---|---|
| black market |
Used primarily to describe an illegal or covert marketplace where goods and services are exchanged without government oversight or regulation. Often involves the sale of prohibited items.
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| underground market |
Similar to 'black market' but often emphasizes the clandestine nature of the transactions. This term can apply to a wide range of illegal or unregulated trade.
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| shadow economy |
Encompasses all economic activities that are hidden from official regulators and tax authorities. This term is broader and can include legal activities that are not reported for taxation purposes.
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| illegal trade |
Refers to the practice of buying and selling goods or services that are illegal under current laws. This term is frequently used in discussions about activities like drug trafficking, human trafficking, or the illegal wildlife trade.
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Examples of usage
- Many people turn to the black market to purchase goods that are not easily accessible through legal channels.
- The black market for counterfeit goods has been thriving in recent years.
Translations
To see the translation, please select a language from the options available.
Interesting Facts
Historical Origins
- The term 'black market' began to appear during World War I, often in reference to trading goods that were in short supply.
- During Prohibition in the United States (1920-1933), the illegal sale of alcohol was rampant, leading to the rise of underground bars known as 'speakeasies.'
Economics
- Black markets can emerge when legal regulations make certain goods or services too difficult to obtain, often leading to higher prices in these illegal exchanges.
- Economists argue that black markets can sometimes provide necessary goods to consumers when the official market fails, but they can also harm economies by evading taxes.
Pop Culture
- Movies like 'The Godfather' and 'Scarface' have depicted black market activities, emphasizing the risks and moral dilemmas of illegal trade.
- Video games such as 'Grand Theft Auto' often include black market elements, allowing players to engage in illegal trading scenarios within the storyline.
Technology
- The rise of the internet gave birth to online black markets, with notorious sites like Silk Road facilitating the trade of drugs and illegal goods anonymously using cryptocurrencies.
- Law enforcement agencies have increased their focus on combating online black markets, utilizing advanced technology to track and shut down these platforms.
Health and Safety
- Black markets can pose serious risks, particularly in the sale of counterfeit medications, which may not only be ineffective but can also be harmful.
- In some regions, there is a black market for organs, leading to severe ethical concerns and health risks for those involved in the transactions.
Origin of 'black market'
The term 'black market' originated during World War II, when goods were scarce and rationed. People would engage in illegal trading to obtain items that were not available through official channels. The black market has since evolved into a complex network of illegal trading activities, spanning various industries and regions. Despite efforts to combat it, the black market continues to thrive due to demand for prohibited or restricted goods.