0
Why would the price of a product made with scarce natural resources tend to be high or low?
Wiki User
∙ 8y ago
High.
Wiki User
∙ 13y ago
Add your answer:
Earn +20 pts
What is the issue of scarcity of natural resources?
One issue that can spring from scarcity of natural resources is economic. When items are scarce, the price for those items goes up. Oil is a good example of this effect.
What describes a situation that would tend to raise the price of goods?
Scarce natural resources make it more difficult for producers to keep up with demand.
What is the role of the price system?
In economics, a price system determines the allocation of scarce resources and induces supply to respond to change in demand. It also rations out scarce product, indicates change in want, is in use in the production of goods and services, and determines the reward factors of production.
How price system allocates scarce resource in free economy?
Scarce resources are allocated to those who are willing and able to pay the most in a free economy.
When an item because scarce how is the cost affected?
If a product is scarce, meaning you have more 'buyers' than product the price will usually go up somply because some people will offer more to get their hands on the limited supply.
What is the issue of scarcity of natural resources?
One issue that can spring from scarcity of natural resources is economic. When items are scarce, the price for those items goes up. Oil is a good example of this effect.
What describes a situation that would tend to raise the price of goods?
Scarce natural resources make it more difficult for producers to keep up with demand.
What is the role of the price system?
In economics, a price system determines the allocation of scarce resources and induces supply to respond to change in demand. It also rations out scarce product, indicates change in want, is in use in the production of goods and services, and determines the reward factors of production.
How price system allocates scarce resource in free economy?
Scarce resources are allocated to those who are willing and able to pay the most in a free economy.
When an item because scarce how is the cost affected?
If a product is scarce, meaning you have more 'buyers' than product the price will usually go up somply because some people will offer more to get their hands on the limited supply.
What are the functions of price system?
1 It determines the allocation of scarce resources 2 It induce supply to respond to change in demand 3 It ration out scarce product 4 It indicate change in want 5 It is in use in the production of good and service 6 It determines the reward factors of production
What is the evidence that resources are scarce?
There are four economic resources: Land, Labor, Capital and Entrepreneurship. These resources are scarce relative to human wants. They are never available in sufficient quantity to produce goods and services to satisfy all human wants. Thus, because when humans desire something or something more, the resources are slowly used up.Therefore, this leads to scarce resources. I took this from my Economics notes.
What a situation in which the price of a good would rise?
Producers cannot make enough of a good when that good becomes popular suddenly. Scarce Natural Resources make it more difficult for producers to keep up with demand.Scarce natural resources make it more difficult for producers to keep up with demand.A new technology allows producers to increase supply very quickly.
What are the Law of Supply and Law of Demand?
In economics, when a commodity is in high demand or in scarce supply, its price will rise; when a commodity is in low demand or plentifully supplied, its price will be lower.The laws of supply and demand dictate that if a product is in short supply, but the demand is high, the price of the product will also rise. If a product is in overabundance, but the demand is low, the price of the product will decrease.
List a variety of strategies for allocating scarce resources?
Rationing, price control, command economy, reservation for privileged classes like handicapped
If a good or service has high demsnd and a scarce supply the price is likely what?
a scarce supply of th price is what
When businesses raise the price of a needed product or service after a natural disaster this is known as?
Price gouging
