0
If demand for a product is high and supply is low the cost will increase. As the demand goes down or supply goes up, the cost will also go down. An example would be the latest video game. When it is first offered and everyone wants it the price is high. When something better comes along or everyone that wants the game has it, the price goes way down.
What else can I help you with?
What is a basic principle of the law of demand?
A microeconomic law that 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 and vice versa.
Which basic principle is also known as constitutionalism or rule of law?
Limited Government
How does law of demand affect the law of quantity?
It's a pretty basic concept learned in school. As more people demand a product, the availability of the product decreases. Therefore, causing the price of the product to increase with the demand.
Should rug sellers' increase the price of rugs due to the high demand?
If a product is in high demand, the chances are good that the seller of that product is going to increase the price. It is a basic principle of economics.
What is the law pf supply and demand?
The law of supply and demand is a fundamental economic principle that describes the relationship between the availability of a product (supply) and the desire for that product (demand). According to this law, when demand for a good increases while supply remains constant, prices tend to rise. Conversely, if supply increases and demand remains constant, prices are likely to fall. This interaction helps determine the market equilibrium price, where the quantity supplied equals the quantity demanded.
What is a basic principle of the law of demand?
A microeconomic law that 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 and vice versa.
What is the basic economic principle that decides how high wages will be?
Supply and demand is the economic principle that decides how high wages will be
What is a basic truth or law?
it is called a principle not the principal for your school though
What is the basic economic that decides how high wages will be?
Supply and demand is the economic principle that decides how high wages will be
Which basic principle is also known as constitutionalism or rule of law?
Limited Government
Is the Law of Conservation of Matter a basic principle in studying chemical reactions?
yes
Nicolaus steno proposed the most basic principle of relative dating the law of?
Nicolaus Steno proposed the most basic principle of relative dating, the law of superposition. Nicolas Steno was a scientist, as well as a Catholic bishop.
Nicolaus steno proposed the most basic principle of relative dating I'd the law of?
Nicolaus Steno proposed the most basic principle of relative dating, the law of superposition. Nicolas Steno was a scientist, as well as a Catholic bishop.
What principle holds that the powers of government should be limited and embodied in a basic law?
Constitutionalism
What is the principle of demand?
The law of demand states that all other things being equal, as the price of a commodity falls quantity demanded increases and vice versa.
How does law of demand affect the law of quantity?
It's a pretty basic concept learned in school. As more people demand a product, the availability of the product decreases. Therefore, causing the price of the product to increase with the demand.
Should rug sellers' increase the price of rugs due to the high demand?
If a product is in high demand, the chances are good that the seller of that product is going to increase the price. It is a basic principle of economics.
