返回首页

Economics Assignment范文:政府对经济的影响 Effects of the Government on the Economy(3)

时间:2017-12-27 15:40来源:www.ukthesis.org 作者:英国论文网 点击联系客服: 客服:Damien
 
While these two learning of economics appear to be different, they are actually interdependent and complement one another since there are many overlapping issues between the two fields. For example, increased inflation (macro effect) would cause the price of raw materials to increase for companies and in turn affect the end product's price charged to the public.
 
Task2:
In this particular task I am going to explain the existing relationship between demand and price also will be giving more detail related to market demand curve and factors affecting demand.
 
According to some researchers demand can be defined as the quantity of a good buyers wish to purchase at each conceivable price, market demand could also be defined as a set of arrangements by which buyers and sellers are in contact to exchange goods or services.
 
The relationship between demand and price describes the behaviour of buyers at every price at every particular price there should be quantity demanded the term quantity demanded makes sense only in relation to a particular price for example in everyday language we say that when the demand for a football match tickets exceeds their supply some people will not get into the ground.
 
Demand curve shows the relation between price and quantity demanded the other things relevant to demand curves can usually be grouped under three groups: the price of goods, the income of consumers and consumer tastes or preferences.
 
Price controls are government rules or laws that forbid the adjustment of prices to clear market for example high food prices mean considerable hardship for the poor the government would prefer to impose a price ceiling on food in order to help the poor to continue purchasing adequate food quantities. In order to be effective a price ceiling must be imposed below the free market equilibrium price therefore it is going to reduce the quantity supplied and lead to excess demand unless government itself provides the extra quantity required. The main factor affecting demand is consumer revenues; consumers intend to purchase a product in order to satisfy their due to their incomes however quantities of demand could increase as consumer incomes rise for example low income people satisfy their needs for clothes by buying low quality clothes as their incomes rise they switch to better quality clothes.
 
Market demand curve is the sum of the demand curves of all individuals in that particular market by asking, at each price, how much each person demands. it also could the horizontal addition of individual demand curves
 
Individual Demand Curve
By looking at the graph we could what an important role price plays in the market therefore we can conclude in this demand of goods or services depend on the price and also on consumer incomes the graphs summarise the demand responses to changes in incomes it also show us the effect of income increases although income rises increase the quantity demanded of goods by consumers.(责任编辑:BUG)


------分隔符-------------------------------------
UK Thesis Base Contacts
推荐内容

Europe (24-hours)
EN:13917206902
china (24-hours)
CN:13917206902
在线客服团队
全天候24小时在线客服 QQ:1455780998

微信在线客服(24小时)

微信公众订阅号