The purpose of the Rabaul Market Survey was threefold: Firstly, to study the price-forming mechanism, to find out how sellers arrive at a price which by previous observation was found to be almost uniform for the same commodity all over the market on anyone day. Secondly, to study the part the market plays in the over-all Tolai economy; and thirdly, to find out how the market fits into the whole Gazelle Peninsula economy. Since I am not aware of any generally accepted technique to study markets, in particular native markets in under-developed areas, I shall start by outlining the techniques employed in the Rabaul market survey. I shall then go on to discuss the price-forming mechanism as I found it operating at Rabaul market, which will be followed by an evaluation of the part the market plays in the overall Tolai economy. Finally, I shall try to draw conclusions which emerge from this study.