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Quantity demanded
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What characteristics lead to a downward-sloping demand curve?
An increase in purchasing power as market price decreases.Diminishing marginal utility.
What is likely to lead to a decrease in the price of a company's stock?
The price of a stock typically changes with demand for the stock, which results from the actions of buyers and sellers. Things that typically lead to a reduction in a company's stock price include: - a decrease in net profits - a loss of market share, or an increase for competitors - revaluation or loss of assets - loss of confidence in the company's leadership - failure of a key product, or failure to interest potential customers
Which best explains how a recovery period can lead to a boom?
An increase in consumer demand resulting from a reduction in prices
What is price merchanism?
Price mechanism is a term referring to how the change in the prices of commodities affects demand and supply. It is important because it regulates the price in the market, absence of price mechanism may lead to an increase in price once demand gets high.
According to the law of supply What does an increase in the price of a good service or resource lead to an increase in?
Supply. If you are a supplier of a good - the price for your good increase - you will produce more to take advantage of this
What characteristics lead to a downward-sloping demand curve?
An increase in purchasing power as market price decreases.Diminishing marginal utility.
Which is most likely to lead to an increase in the price of company's stock?
Once a company goes public and its shares start trading on a stock exchange, its share price is determined by supply and demand in the market. If there is a high demand for its shares, the price will increase.
What is likely to lead to a decrease in the price of a company's stock?
The price of a stock typically changes with demand for the stock, which results from the actions of buyers and sellers. Things that typically lead to a reduction in a company's stock price include: - a decrease in net profits - a loss of market share, or an increase for competitors - revaluation or loss of assets - loss of confidence in the company's leadership - failure of a key product, or failure to interest potential customers
When a stortage exists in a market and price?
rises, it means that there is high demand for a product or service but limited supply. The increase in price serves as a signal to suppliers and encourages them to increase production to meet the demand. However, if the shortage persists, it can lead to prolonged high prices and potential imbalances in the market.
What can lead to an increase in the price of a company's stock?
Typical reasons include an increase in the company's earnings, or in the value of its holdings, or its percentage of market share for its products. Stock price increases when there is a demand for the stock (buying) and will usually decrease if there is less demand (net selling).
Which best explains how a recovery period can lead to a boom?
An increase in consumer demand resulting from a reduction in prices
What is price merchanism?
Price mechanism is a term referring to how the change in the prices of commodities affects demand and supply. It is important because it regulates the price in the market, absence of price mechanism may lead to an increase in price once demand gets high.
According to the law of supply What does an increase in the price of a good service or resource lead to an increase in?
Supply. If you are a supplier of a good - the price for your good increase - you will produce more to take advantage of this
In a perfectly competitive market an increase in demand will in the long run generally cause?
An increase in demand in a perfectly competitive market will lead to an increase in revenue for the business. The more they sell the more they will make.
Find at least two specific current examples of non-price determinants that shift demand in the market?
There are a number of non-price determinants that can shift demand in a market. Some of the most common include changes in income, changes in prices of complementary or substitute goods, changes in consumer tastes or preferences, and changes in the number of consumers in the market. For example, an increase in income will lead to an increase in demand for most goods and services. This is because as consumers have more money to spend, they are able to purchase more of the things they want and need. A change in the price of a complementary good, such as a decrease in the price of gasoline, will also lead to an increase in demand for automobiles. This is because consumers will have more money to spend on automobiles if the price of gasoline is lower. Similarly, a change in the price of a substitute good, such as an increase in the price of coffee, will lead to a decrease in demand for tea. This is because consumers will substitute coffee for tea if coffee becomes relatively more expensive. Finally, changes in consumer tastes or preferences can also lead to changes in demand. For example, if more consumers become interested in healthy eating, there will be an increase in demand for fruits and vegetables. Conversely, if more consumers become interested in fast food, there will be an increase in demand for hamburgers and fries.
A rapid increase in the population of a city or town is most likely to lead to which?
A sellers market
How might a reduction in taxation help macro economic aims of government?
A reduction in VAT taxation might lead to price stability and hence it'd be an effective measure to prevent inflation/deflation.
