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They can be bought and sold but the obligation in the contract remains valid.

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Q: Why commodity futures contracts re transferable?
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What is the effect of taxation on the supply and demand on equilibrium price?

The imposition of a tax on the commodity (or even on the factor of production) translates into increased costs of production for the producers. This is because the producers would require much more to produce a given unit of that commodity. In response to the law of supply, the quantity supplied of that commodity will decrease arising from increase in costs of production. This is equivalent to an in-ward or up-ward shift of the supply curve, from the original equilibrium position. The market re-gains equilibrium with a new higher equilibrium price and lower equilibrium quantity. The producer, however, has to compensate him or herself by adding the amount of the tax to the supply price. This suggests that the incidence of the tax is shared by both consumers and producers. The consumers pay the tax in form of increased prices of the commodity while producers will pay the tax in form of increased costs of production. The proportion of the tax paid by either the consumer or producer depends on the price elasticity of demand for the commodity. Ceteris paribus, the more price inelastic the demand for the commodity, the bigger the proportion of the tax paid by the consumers and vice versa.


What are the positive effects price rise?

The positive effects of a rise of the price of a particular commodity, i.e. a relative price rise, include the re-allocation of resources to increase production of that commodity (unless prevented by e.g. a quota, or unless supply is perfectly inelastic). The positive effect of a general price rise (i.e. price inflation without a change in price ratios) is supposed to be that, absent economy-wide indexation, it allows a downward adjustment or real prices for goods and services that are sticky downwards in nominal terms. The examples usually given are wages (generally) wages in declining industries, and house prices. More cynically, one might say that from the point of view of the government the positive effect of a general price rise (even when wages are indexed) is the stealthy increase of tax rates through bracket creep.


What is the abbreviation for real estate?

The abbreviation for real estate is RE. Of course, it would have to be used in an appropriate context to have that meaning since RE can be used in other contexts.


Why will market equilibrium be re-established once disturbed?

It was found experimentally that Market has to re-establish Equilibrium via Market mechanism. Such that Market equilibrium is a desired status in the market where both suppliers and Consumers will tend re-establish market equilibrium (through demand & Supply) undeliberately.


What is currency re-denomination?

The process of revaluing a currency. Example, the Bulgarian lev was re-denominated, so a new lev was issued, changing the value of the "new" lev to 100 of the old notes.

Related questions

What happend when the us ended contracts with defence plants in World War 2?

Swords were re-cycled into civilian products...the baby boom commenced.


If you get 6 months of free internet with comcast and then you cancel it after 6 months can you re-connect it and get another 6 months for free?

There is usually some type of fine print in contracts or agreements that disallow things like this.


What is the effect of taxation on the supply and demand on equilibrium price?

The imposition of a tax on the commodity (or even on the factor of production) translates into increased costs of production for the producers. This is because the producers would require much more to produce a given unit of that commodity. In response to the law of supply, the quantity supplied of that commodity will decrease arising from increase in costs of production. This is equivalent to an in-ward or up-ward shift of the supply curve, from the original equilibrium position. The market re-gains equilibrium with a new higher equilibrium price and lower equilibrium quantity. The producer, however, has to compensate him or herself by adding the amount of the tax to the supply price. This suggests that the incidence of the tax is shared by both consumers and producers. The consumers pay the tax in form of increased prices of the commodity while producers will pay the tax in form of increased costs of production. The proportion of the tax paid by either the consumer or producer depends on the price elasticity of demand for the commodity. Ceteris paribus, the more price inelastic the demand for the commodity, the bigger the proportion of the tax paid by the consumers and vice versa.


What are the lyre chords of Fireworks?

So fa mi do re re re re re re re do do mi so fa mi do re re re re re re re so fa mi do re re re so so so fa mi do re re re


What are the notes for Blue Note Rock?

re re mi re do re re re mi re do re la la la sol sol sol re re mi re do re then repeat


What is dingbats answer for RE over RE?

RE RE


What is the chord of love is all that matters?

DO RE MI DO RE SOL/FA MI RE DO RE MI/DO RE MI DO RE SOL/FA MI RE DO RE(x2)


What are the pathways of blood?

Assuming you mean from the heart,the un-oxygenated blood enters the heart from either the Superior Vena Cave or the Inferior Vena Cava. Then it will enter into the Right Atrium which will contract and push the blood into the Right Ventrical.The Right Ventrical contracts and pushes the blood out to the lungs through the Pulmonary Veins to be re-oxygenated.Once it had been re-oxygenated it gets push throught the Pulmonary Arteries into the Left Atrium.The Left Atrium contracts and the blood is pushed into the Left Ventrical.Then with one last contraction the blood is pushed through the Aorta to go through your body. Once it returns it does the entire cycle over again.


What are pathways of blood?

Assuming you mean from the heart,the un-oxygenated blood enters the heart from either the Superior Vena Cave or the Inferior Vena Cava. Then it will enter into the Right Atrium which will contract and push the blood into the Right Ventrical.The Right Ventrical contracts and pushes the blood out to the lungs through the Pulmonary Veins to be re-oxygenated.Once it had been re-oxygenated it gets push throught the Pulmonary Arteries into the Left Atrium.The Left Atrium contracts and the blood is pushed into the Left Ventrical.Then with one last contraction the blood is pushed through the Aorta to go through your body. Once it returns it does the entire cycle over again.


Where can you find lyre notes to the song of beautiful girls?

mi re do solx3 la re mi la do do do la do re mi mi re do mi re re do mi re re do la si do mi re do


What has the author Me re-me re written?

Me re-me re. has written: 'More name saints'


How do you say Re Re in Hebrew?

If this is a name, then Re Re is the same in Hebrew as it is in English.