0
What happens when the demand for one good or service results in the demand for another?
When the demand for one good or service leads to an increase in the demand for another, it is known as complementary demand. This means that the two goods or services are often used together or are seen as related in some way. As a result, an increase in the demand for one product will typically lead to an increase in the demand for the other.
What else can I help you with?
Demand for one good or service that is determined by demand for another good or service is?
derived demand
Demand for one good or service that is determined by demand for another good or service is .?
derived demand
What is the difference between derived demand and absolute demand?
Derived demand refers to the demand for a good or service that results from the demand for another good or service, typically in a production context. For example, the demand for steel is derived from the demand for automobiles, as steel is a necessary input in their production. In contrast, absolute demand refers to the total demand for a product or service in the market, independent of the demand for other goods. Essentially, derived demand is contingent on the demand for related products, while absolute demand stands alone.
What usually happens to the demand for a good or service when the price increases?
When the price of a good or service increases, the demand for it usually decreases.
What happens to the price of a good or service when there is excess demand?
When there is excess demand for a good or service, the price typically increases. This is because the high demand creates a scarcity of the product, leading sellers to raise prices to balance supply and demand.
Demand for one good or service that is determined by demand for another good or service is?
derived demand
Demand for one good or service that is determined by demand for another good or service is .?
derived demand
What is the difference between derived demand and absolute demand?
Derived demand refers to the demand for a good or service that results from the demand for another good or service, typically in a production context. For example, the demand for steel is derived from the demand for automobiles, as steel is a necessary input in their production. In contrast, absolute demand refers to the total demand for a product or service in the market, independent of the demand for other goods. Essentially, derived demand is contingent on the demand for related products, while absolute demand stands alone.
What usually happens to the demand for a good or service when the price increases?
When the price of a good or service increases, the demand for it usually decreases.
What happens to the price of a good or service when there is excess demand?
When there is excess demand for a good or service, the price typically increases. This is because the high demand creates a scarcity of the product, leading sellers to raise prices to balance supply and demand.
When is something scarce in the supply market?
Scarcity results when the demand for a good or service is greater than its supply.
What is indirect demand?
Indirect demand refers to the demand for goods or services that arises from the demand for another good or service. This can occur when one product is necessary for using another product, causing a ripple effect in the demand chain. For example, the demand for automobile tires is indirectly driven by the demand for automobiles.
What is another definition for value?
It is the importance assigned to an object or service as determined by public demand.
What happens to a demand curve when there is a change in a demand factor?
As a demand factor changes in relation to a good or service, the demand curve will shift horizontally left or right. This is because a change in a demand factor results in a change in demand. At each and every price, the quantity demanded is affected.Tastes, Fashions and Preferences: As consumer tastes/fashions/preferences improve for a good or service, the demand will increase (and vice versa). This is often affected by advertising and marketing of products, or because of living conditions.Income: As consumer income increases, the demand for a good or service will increase (and vice versa). This is because they are able to buy more of a good or service as they have more disposable income.Price of a Compliment: As the price of a compliment increases, the demand for the respective good or service decreases (and vice versa). This is because the quantity demanded for the compliment decreases, so consumers require less of the other good or service to use in conjunction with the compliment.Price of a Substitute: As the price of a substitute increases, the demand for respective goods and services will increase (and vice versa). This is because the quantity demanded for the substitute will decrease as the price increases, and some consumers will turn to equivalent goods.Please note: Price is not a demand factor; a change in price changes quantity demanded, which results in a movement along the demand curve.
Definition for ''law of demand''?
In economics, the law of demand states:- As the price of a good or service increases, the demand for that good or service will decrease.- As the price of a good or service decreases, the demand for that good or service will increases.
The law of demand state that all else constant?
The law of demand states that all other factors being equal, as the price of a good or service increases, consumer demand for the good or service will decrease. The opposite happens if the price decreases the need for the good or service increases.
When there is a change in the quantity demanded what happens to the demand curve?
Decrease in quantity demanded usually results from an increase in price and vice versa. When the price of a product increases, the demand curve itself is not affected. However, the quantity demanded decreases to a higher point along the demand curve.
