0
How is the price affecting the demand and supply in the communities?
Wiki User
∙ 11y ago
We can't be very specific since you have not told us which product you are asking about, however, in general, higher prices lead to less demand and more supply. People become more reluctant to buy a product as it becomes more expensive, and people are more willing to produce a produce as it becomes more profitable.
Wiki User
∙ 11y ago
Add your answer:
Earn +20 pts
What are the factors affecting Demand and supply of goods?
price is the main factor which affect demand and supply and other factors which affect demand and supply are change in income weather change living standard of people alternative things superior to inferior
What is the key variable affecting demand?
price
The key variable affecting demand is?
price
What happens to both the supply and demand as the price decreases?
If the price decreases then the economic law of demand & supply comes in operation with increase in demand and decrease in supply, as the producer will not supply at the price unsuitable to them in the market .
How is the law of supply similar to the law of demand?
If the demand for a commodity increases, but the supply does not increase equally, the price will increase. If the supply of a commodity increases, but the demand for that commodity does not increase equally, the price will decrease. If the demand for a commodity decreases, but the supply does not decrease equally, the price will decrease. If the supply of a commodity decreases, but the demand does not decrease equally, the price will increase.
What are the factors affecting Demand and supply of goods?
price is the main factor which affect demand and supply and other factors which affect demand and supply are change in income weather change living standard of people alternative things superior to inferior
What is the rule of price in economics?
Price is tied to supply in demand. If there is a short supply and big demand, price goes up. If there is a short supply and low demand, price will remain steady. If supply is high and demand small, price will go down.
What is the key variable affecting demand?
price
The key variable affecting demand is?
price
What happens to both the supply and demand as the price decreases?
If the price decreases then the economic law of demand & supply comes in operation with increase in demand and decrease in supply, as the producer will not supply at the price unsuitable to them in the market .
How is the law of supply similar to the law of demand?
If the demand for a commodity increases, but the supply does not increase equally, the price will increase. If the supply of a commodity increases, but the demand for that commodity does not increase equally, the price will decrease. If the demand for a commodity decreases, but the supply does not decrease equally, the price will decrease. If the supply of a commodity decreases, but the demand does not decrease equally, the price will increase.
If demand and supply is limited but the demand is high how would the price be affected?
yes, because supply is limited and the demand is high then pretty much the price will be affected. since the shortage of supply, and high demand, then price will be high price and very expensive
What is supply relationships?
I take it you mean what is the relationship of supply and demand. As the supply goes up the price will come down. As the demand goes up the price will go up. If the supply and demand are in balance the price will stay the same.
What is equilibirium price?
When demand price = supply price
What is the role that various inducements other than price might play in affecting demand and supply in the market?
the quality makes the difference between companies
If demand decreases and supply is constant what happens to the equilibrium price?
If demand decreases and supply is constant, the price will increase.
Relationship between demand and supply?
1:inverse relationship between supply and demand 2:supply depends upon the demand of a commodity, that it might be positive or negative. 3:supply always depends upon demand but demand never depends to supply. 4:a supply never affects the demand of a commodity but demand always affect to its supply. 5:demand is the initial stage but supply is the stage after demand. 6:supply have a positive relations to price whereas demand has a negative relations with price. 7:supply and price has a direct relations or positive relation. 8:law of supply relates to the price and supply of a particular commodity in a particular time period. 9:price has a connections with demand and supply that it affects both supply in a positive way and demand in a negative way and if price changes then both demand and supply will change. 10:demand curve shows the changes positions of demand in a different price level of a particular commodity where demand schedule also shows the changes positions of demand in a different price level of a particular commodity, hence both have a common objectives to depict the same result in a different way.
