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. Do changing demands affect production?
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What two things make a product have value?
The principle of "supply and demand". If the supply of a product is higher than the demand, the product is worth less due to its availability. Conversely, if the demand exceeds the supply, then the products is worth more due to its rarity.
What are the determinants that create changes in price?
The main two are supply and demand
What is supply and demand economy?
Supply is how much of the product an economy has. The demand is how much the people need the product. These two make the price. Let's say the supply is high and demand is low, the price would be low. If it was the other way around, price would be higher.
How does demand affect the price?
As demand for a good goes up, the price goes up. So any determinant of demand that has positive or negative effect on demand will have the same affect on the price.Non price factor can have a great influence on demand. For example when I go food shopping I always look for deals or non-price factors. One deal or non price factor that causes me to buy is a deal called buy one get another at equal cost for free. This is a great incentive. This incentive increses a demand for the item. In this case it is steak.
Why is the demand for labor referred to as a derived demand?
Derived demand results from a demand for increase in intermediates goods or production resulting from another demand resulting for final or intermediate goods. For example, a demand for an item can make its production increase, which makes its labor increase.
What two things make a product have value?
The principle of "supply and demand". If the supply of a product is higher than the demand, the product is worth less due to its availability. Conversely, if the demand exceeds the supply, then the products is worth more due to its rarity.
What are the determinants that create changes in price?
The main two are supply and demand
Why is aggregate supply related to the price level?
This is in accordance to the Demand & Supply Theory... When the demand for a product is high and its supply is low, this usually causes the price of that commodity to increase Similarly when supply for a product is high and the demand for that product is low, it causes the price of that product to decrease. Hence the supply is inversely related to the price of any product (Provided the Demand is in accordance to the two points mentioned above)
Suply and demand?
Supply And Demand.Demand:- it consists of two components 1. Desire. 2. Ability.the desire component is important in the sense that only having desire for a product or service does not create demand for a product. The desire should accompany the ability component to create demand for a product and service. Therefore, we can say that demand is willingness and ability to buy something.Supply:- it means the availability of a product and service in the market.According to the law of demand and supply, when demand increases, supply shrinks which leads to increase in prices.
What is supply and demand economy?
Supply is how much of the product an economy has. The demand is how much the people need the product. These two make the price. Let's say the supply is high and demand is low, the price would be low. If it was the other way around, price would be higher.
What are the factors that affect changes in matter?
Pressure and temperature are two factors that both affect the state of any type of matter.
What are two external factors to be considered when setting the price for the product?
When setting the price of products organizations much consider competition. Another aspect the need to consider is the demand for their product.
How does demand affect the price?
As demand for a good goes up, the price goes up. So any determinant of demand that has positive or negative effect on demand will have the same affect on the price.Non price factor can have a great influence on demand. For example when I go food shopping I always look for deals or non-price factors. One deal or non price factor that causes me to buy is a deal called buy one get another at equal cost for free. This is a great incentive. This incentive increses a demand for the item. In this case it is steak.
Why is the demand for labor referred to as a derived demand?
Derived demand results from a demand for increase in intermediates goods or production resulting from another demand resulting for final or intermediate goods. For example, a demand for an item can make its production increase, which makes its labor increase.
What is demand Why does it slope downward?
'Demand' referring to the product of a Supply vs. Demand chart shows the general consumer interest in a product depending on its price. Where the X-axis represents general price and the Y-axis represents general consumer interest. As the price of a product goes up, the interest of the purchasing public in that product will decrease.Similarly, as the price for a product increases, producers will increase their production of that product so as to maximize profit. This is reflected by the 'Supply' line. The point where the two meet is known as the equilibrium point, and represents the maximally efficient point of production to satisfy both consumers and producers without producing either a surplus (greater supply than demand) or a shortage (greater demand than supply) of the product in question.
Give two examples of how you have observed the law of demand at work in the real world?
The law of demand is that at higher prices, a lower amount of product will be demanded. A higher amount of product will be in demand if the prices are low. Two examples of this observed in the real world include gas prices going up and people buying less gas. Another example is the opposite with lower gas prices and people driving more.
What property of multiplication states that the order in which two real numbers are multiplied does not affect the product?
the lesson property
