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Are slope of demand curve and elasticity of a demand curve the same thing?
Wiki User
∙ 8y ago
Not exactly. They serve the same purpose, but calulated a little bit differently. Slope equals change in price divided by change in quantity. Elasticity equals changes in quantity to be divided by changes in price
Wiki User
∙ 8y ago
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Distinguish between a movement along a given demand curve and a change in demandprovide an example for each?
The change in the demand of a commodity due to change in its price leads to moving the demand curve upward or downward depending upon the change in price. When the price rises, the demand falls. And when the price falls the demand for that commodity rises leading to movement in the demand curve. Shift in the demand curve is the result of the price remaining constant but the demand changing due to several other factors such as, change in fashion, population, etc. Hence at the same price when more is demanded the demand curve shifts to the right. and at the same price when less commodity is demanded it results in the shift of the demand curve to the left.
What is an increase in the investment demand curve?
The interest rate is the thing that primarily affects the investment demand curve and an increase in investment indicates a decrease in real interest rate. This makes sense because it is better for borrowers to pay a lower interest rate. Also, better technology can cause the investment demand curve to shift out, also high inventories. If interest rates are expected to be higher in the future, firms will choose to invest now and the lowering of business taxes will result in the investment demand curve to shift outwards.
The negative slope of the production possibilities curve illustrates?
when resources are fully employed, an economy can produce more of one thing only by producing less of something else
The negative slope of the production possibilities curve illustrates that?
when resources are fully employed, an economy can produce more of one thing only by producing less of something else
What if there are no elasticity?
if there is no elasticity means...there will be no deformation in shape and size...and one more thing is if we try to change the shape of the object and no elasticity means the object will break...
Describe how the slope of the demand curve can be explained by the principle of diminishing marginal utility?
People only need so much of one thing. The lower the price the more demand you will have for the product, until the customer does not want anymore. At that time it will not matter what the price is, they will not purchase any more.
Distinguish between a movement along a given demand curve and a change in demandprovide an example for each?
The change in the demand of a commodity due to change in its price leads to moving the demand curve upward or downward depending upon the change in price. When the price rises, the demand falls. And when the price falls the demand for that commodity rises leading to movement in the demand curve. Shift in the demand curve is the result of the price remaining constant but the demand changing due to several other factors such as, change in fashion, population, etc. Hence at the same price when more is demanded the demand curve shifts to the right. and at the same price when less commodity is demanded it results in the shift of the demand curve to the left.
What does the slope under the curve of a displacement versus time reveal?
There is no such thing as a "slope under the curve", so I assume that you mean "slope of the curve". If the curve is d vs. t, where d is displacement and t is time, then the slope at any given point will yield (reveal) the velocity, since velocity is defined as the rate of change of distance with respect to time. Mathematically speaking, velocity is the first derivative of position with respect to time. The second derivative - change in velocity with respect to time - is acceleration.
What is an increase in the investment demand curve?
The interest rate is the thing that primarily affects the investment demand curve and an increase in investment indicates a decrease in real interest rate. This makes sense because it is better for borrowers to pay a lower interest rate. Also, better technology can cause the investment demand curve to shift out, also high inventories. If interest rates are expected to be higher in the future, firms will choose to invest now and the lowering of business taxes will result in the investment demand curve to shift outwards.
Will the following changes affect the market price of wheat flour?
Wheat is virtually a perfectly competitive market. Therefore, its demand curve is horizontal. The only thing that could change the market price of wheat flour is a shift in the demand curve, e.g. a shift in consumer tastes.
The negative slope of the production possibilities curve illustrates?
when resources are fully employed, an economy can produce more of one thing only by producing less of something else
The negative slope of the production possibilities curve illustrates that?
when resources are fully employed, an economy can produce more of one thing only by producing less of something else
What if there are no elasticity?
if there is no elasticity means...there will be no deformation in shape and size...and one more thing is if we try to change the shape of the object and no elasticity means the object will break...
What makes ormal curve asymmetrical?
There is no such thing as an "ormal curve". And a Normal curve IS symmetrical!
When disaster hits an area the cost of everything seems to go up immediately why is this a good thing using the laws of supply and demand?
because it reflects our economy by our standers of price using the supply and demand curve we can judge how much supply we need and at what price to charge as a result of how much demand there is
What is a steep slope in Africa called?
the same thing as a steep slope in Asia
What is J curve?
a population thing
