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What is the relationship between willingness to pay and demand?
Wiki User
∙ 11y ago
the relationship is when someone wants something is demand and that is where its willngness started if he/she is leardy can pay immediately.
Wiki User
∙ 11y ago
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What is demand function?
demand function -- a behavioral relationship between quantity consumed and a person's maximum willingness to pay for incremental increases in quantity. It is usually an inverse relationship where at higher (lower) prices, less (more) quantity is consumed. Other factors which influence willingness-to-pay are income, tastes and preferences, and price of substitutes.
Define the term Demand in economical terms?
The willingness and/or ability to pay for a good, service or commodity.
What is the difference between price and supply?
if the supply is low and the demand is high, then the price of the good will be high. if there is high supply but low demand, then the price will be low. the price of a good or service is determined by the relationship between supply and demand. look for any basic macro or micro economics books and it should give you a very good explanation on the subject also pay attention to the graphs of supply and demand and you will get a better understanding of the relationship between supply and demand.
Melissa buys an iPod for 100 and gets consumer surplus of 80 what is her willingness to pay?
As she has bought the item her willingness to pay is 100%
What does WTP stand for in economics?
Willingness To Pay, commonly studied alongside WTA (Willingness to Accept)
What is demand function?
demand function -- a behavioral relationship between quantity consumed and a person's maximum willingness to pay for incremental increases in quantity. It is usually an inverse relationship where at higher (lower) prices, less (more) quantity is consumed. Other factors which influence willingness-to-pay are income, tastes and preferences, and price of substitutes.
What Demand function?
demand function -- a behavioral relationship between quantity consumed and a person's maximum willingness to pay for incremental increases in quantity. It is usually an inverse relationship where at higher (lower) prices, less (more) quantity is consumed. Other factors which influence willingness-to-pay are income, tastes and preferences, and price of substitutes.
Define the term Demand in economical terms?
The willingness and/or ability to pay for a good, service or commodity.
What is the difference between price and supply?
if the supply is low and the demand is high, then the price of the good will be high. if there is high supply but low demand, then the price will be low. the price of a good or service is determined by the relationship between supply and demand. look for any basic macro or micro economics books and it should give you a very good explanation on the subject also pay attention to the graphs of supply and demand and you will get a better understanding of the relationship between supply and demand.
where is the moving sight demand curve also?
The moving sight demand curve is used in business. It is used to show the relationship between what a commodity cost and the amount a person is willing to pay for it.
What is the definition and examples of various types of demand?
The term demand implies a 'desire' for a commodity backed by the ability and willingness to pay for it. Unless a person has adequate purchasing power or resources and the preparedness to spend his resources,his desire for a commodity would not be considered as demand.
Melissa buys an iPod for 100 and gets consumer surplus of 80 what is her willingness to pay?
As she has bought the item her willingness to pay is 100%
What does WTP stand for in economics?
Willingness To Pay, commonly studied alongside WTA (Willingness to Accept)
Melissa buys an ipod for 120 and gets consumer surplus of 80 what is her willingness to pay?
Her willingness to pay for the ipod would be $200. ($120 + $80)
Which elements of pricing can be standardized?
The customer's willingness to pay
What is the relationship between teacher pay and a shortage of teachers?
NEGETIVE
Why demand curve is negatively sloping?
The demand curve is negatively sloped to represent the declining marginal utility from consumption. At greater quantities of consumption each additional unit of a good consumed will yield relatively less utility, thereby reducing the marginal willingness to pay for that good.
