answersLogoWhite

0

What else can I help you with?

Continue Learning about Economics

What is the relationship between consumption and production?

Production and consumption is another way of saying supply and demand. If production far exceeds consumption for a particular product, the market becomes flooded or saturated and the price of the product goes way down. If consumption far exceeds production, there is a major shortage of the product, so its price goes way up. It is usually best to produce just enough to keep your prices competitive. However, it is certainly not a bad thing to put so much quality into certain products that it causes production to be far below market demands, as long as your customers recognize the difference in quality and are willing to pay extra for it. I think that is the sort of corporate behavior that builds brand loyalty.


Why have market economies far exceeded all other types of economies in the production of new and better production?

in market economies firm develping new and better products are often able to earn larger than normal profits.


Where can one obtain a list of countries having an Islamic economic system?

as far as an Islamic economic system is concerned there is an Islamic economic system in Saudi Arabia where you connot find even a person for zakat.then There is Iran also.An Islamic economic system means means every one's prosperity.


How did the growth of railroads help mass production and consumption of goods?

Railroads is a means of transport. For large scale production to take place smoothly and efficiently, a developed communication and transport system is inevitable. This is because the raw materials and other resources which are used as factor inputs in production process are not usually obtained from the same geographical location where the production is taking place. They may be obtained from other parts of the country and the development of the railroad network makes it possible. With the growth in railroads, the goods can be transported to far-off places in the country. The market for the good extends and consumption of final goods goes up.


Why have market economies far exceeded all other types of economies in the production of new and better products?

In market economies, firms developing new and better products are often able to earn larger than normal profits.