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Suppliers supply more of the goods as and when prices of that commodity increases.
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Assuming that are other things remains unchanged how with suppliers react to a price increase for product?
The consumers would buy less of that product
A measure of how suppliers react to a change in price?
The answer will most likley be (b) quantity supplied
When consumers react to an increase in a goods price by consuming less of that good and more of another it is called the?
Substitution effect
How elasticity of demand effect managerial decisions?
Elasticity of demand measures how much demand for a product will change if the price of that product is changed. Something highly elastic will be greatly affected by price changes (something like a hotdog for example, if a vendor raises his price then demand will drop because people can go elsewhere-demand is elastic). So management must be aware of how consumers will react to price changes. Normally, lowering the price of a good will bring in more customers if the demand for that good is elastic. If it is inelastic, then a lower price will not increase demand much.
What is the importance of elasticity of demand and supply?
Elasticity of demand to firms are important because they represent the nature of the goods they are dealing in. For example if a firm produces goods with inelastic demand they will be able to earn high profits because even if they increase the price of the goods, since the change in demand will be less than the change in price. Also if there is a tax they will share less of the burden. This means they can keep prices high and not have to worry about a lot of things. However, if a firm were to produce goods with elastic demand, then they will have to make sure the price of the good remains low and if there is a tax they will be the ones who share the majority of the burden.
Assuming that are other things remains unchanged how with suppliers react to a price increase for product?
The consumers would buy less of that product
A measure of how suppliers react to a change in price?
The answer will most likley be (b) quantity supplied
When consumers react to an increase in a goods price by consuming less of that good and more of another it is called the?
Substitution effect
How elasticity of demand effect managerial decisions?
Elasticity of demand measures how much demand for a product will change if the price of that product is changed. Something highly elastic will be greatly affected by price changes (something like a hotdog for example, if a vendor raises his price then demand will drop because people can go elsewhere-demand is elastic). So management must be aware of how consumers will react to price changes. Normally, lowering the price of a good will bring in more customers if the demand for that good is elastic. If it is inelastic, then a lower price will not increase demand much.
What is the importance of elasticity of demand and supply?
Elasticity of demand to firms are important because they represent the nature of the goods they are dealing in. For example if a firm produces goods with inelastic demand they will be able to earn high profits because even if they increase the price of the goods, since the change in demand will be less than the change in price. Also if there is a tax they will share less of the burden. This means they can keep prices high and not have to worry about a lot of things. However, if a firm were to produce goods with elastic demand, then they will have to make sure the price of the good remains low and if there is a tax they will be the ones who share the majority of the burden.
What are the 2 main products when methane and chlorine react?
Chloromethane is the product that is formed when methane and chlorine react with each other. Dichloromethane is another product that can also be formed when methane and chlorine react.
How did Americans react to the increase in immigration?
Generally, Americans have mix feelings towards lager numbers of immigrates. How Americans react to an increase in immigration is generally negative.
When hbr react with propane the p is roduct?
HBR doesn't react with Propane, but it does with Propene. The product is either 1-bromo propane(minor product) or 2-bromo propane(major product). To determine which product will be the major product, use the Markovnikov's rule.
When two elements chemically react the mass of the product is?
When two elements chemically react, the mass of the product is equal to the sum of the two masses of the two elements.
What is a measure of how consumers react to a change in price?
The answer is Price Elasticity of Demand tool.
What are the uses and advantages of price mechanism?
Basically the price mechanism acts as "an invisible hand" or signaling mechanism. They play a key role in allocating resources and the distribution of the national product. Consumers react to prices with higher or lower demand and producers act accordingly. In other words prices help producers determine the quantity supplied. If consumers demand is high at a certain price, then producers know that they ought to increase supply. If demand is low then they ought to reduce supply. ..that's the basic concept. For more I'd suggest reading some books on micro economics or stuff like Lipsey and Crystal. 1. IT ALLOCATES RESOURCES EFFICIENTLY.( DEMANDERS GET THE MOST FOR THEIR MONEY AND SUPPLIERS GET A GOOD PRICE FOR THEIR PRODUCT) 2.DEMAND AND SUPPLY ARE ABLE TO ACT NATURALLY. ECONOMIC EFFICIENCY.( THE ALTERNATIVE IS A CENTRALIZED SYSTEM WITH THE GOVERNMENT ALLOCATION RESOURCES. THIS RAISES THE QUESTION," DOES THE GOVERNMENT KNOW WHAT IS BEST FOR THE PEOPLE?") these are quotes from my economics book.
What gas in the air does copper react with and what product is formed?
Oxygen. The product is copper oxide.
