Meaning of Supply Supply in economics refers to the quantity of a commodity offered for sale at various prices during a particular time. Supply links with three basic things; the first supply is the desired quantity. It means supply is all about how much quantity the sellers are willing to sell and not how much …
A function shows the relationship between two or more variables known as dependent and independent variables. In a given market and in a given time period, the demand function for a commodity is the relation between the amount of the commodity demanded and its determinants like the price of the commodity, price of related goods, …
One of the fundamental concepts of economics, the law of demand states that there is an inverse relationship between the price and demand for a product underneath the assumption of ceteris paribus. However it is not the only price that affects the demand but also there are many other factors such as the income of …
The Law of demand shows the opposite relationship between price and quantity demanded of a commodity. But, such relation does not hold for all the times, consumers, place, environments. It means in actual practice, in many cases law of demand may not operate. At times we find that demand may not vary negatively with the …
Meaning of Demand Curve The demand curve shows the demand for a commodity at varying prices at a given time. Putting alternatively, the demand curve is the graphical presentation of the demand schedule. Thus the graphical representation of the demand schedule showing the relationship between the price of a commodity and its demand is a …
Meaning of Demand Schedule The demand schedule refers to a table that exhibits the association stuck between the price of a commodity and the quantity demand of that commodity. It means that the demand schedule refers to the tabular statement that states different quantities of a commodity that would be demanded at different prices in …
The law of demand was developed by the famous Neo-classical economist Alfred Marshall in this book ‘Principle of Economics’ in 1890 AD. According to this law other things reaming the same/ceteris paribus there is an inverse relationship between the price of a commodity and quantity demand for the commodity. It means when the price of …
The factors or components that influence the decision of households to purchase a commodity are the determinants of demand. If we have to purchase any good then we might have influenced by several considerations like the amount that we want to spend for the good, our liking for the good, market trend, etc. This happens …
There are different types of goods that we are enjoying in our daily life. The brief description of different types of goods is below; Consumer Goods The goods that consumers use for consumption purposes are consumer goods. Food, clothes, jewelry, etc. are an example of consumer goods. In economics by consumer goods, we mean any …
Meaning of Goods In general language, goods are those things that are touchable and saleable. But in economic language, along with touchable and saleable attributes they must be able to provide utility or satisfaction to fulfill human wants. So, goods are tangible objects that satisfy people’s wants. For example, goods are items that we buy, …