Inelastic demand is a term used ineconomicsto refer to a product in which the demand does not fluctuate on the basis of price or supply. It is distinct from the vast majority of products, in whichsupply and demandmove along a givendemand curveon the basis of the price. There are certain...
The value of one good that is sacrificed to achieve the value of another good is called opportunity or alternative cost. It is also described as the relationship between scarcity and choice in economics. Answer and Explanation: Learn more about this topic: ...
Krugman makes against the globalization hypothesis of inflation and unemployment are mostly empirical. Which argument do you find most compelling? Explain it briefly. If you do not f Graphically explain the difference between the effects of ...
What is an Inelastic Demand? What is Market Demand? What is a Seller's Market? What is Price Discrimination? Discussion Comments Byanon256421— On Mar 21, 2012 @anon52041: The concept of supply and demand is: When supply is greater than demand, prices tend to go down. When demand is ...
A market structure consisting of large number of buyers and a single seller is known as a monopoly market. The single seller in the market is known as the monopolist. A monopolist enjoys the status of being a king of the market and controls the complete supply of the market. ...
The elasticity of demand spectrum starts at the left with perfectly inelastic demand, ends at the right with perfectly elastic demand and has unitary elasticity at its theoretical center. I’ve used the price elasticity formula — PED — to illustrate the values for each category, because price ...
High Volatility:Higher returns from commodity trading are due to the high price volatility of commodities. The price is driven by demand and supply when the demand and supply of goods are inelastic. It means that despite changes in price, supply and demand remain unchanged, which can significantl...
The difference between the price paid for use of a resource whose supply is inelastic and the minimum price at which that resource would still be provided. Also called economic rent. Rend To tear or split apart or into pieces violently. Rent An opening made by rending; a rip. Rend (transi...
Thedemand curvefor a perfectly inelastic good is depicted as a vertical line in graphical presentations because the quantity demanded is the same at any price. Supply could be perfectly inelastic in the case of a unique good such as a work of art. No matter how much consumers are willing to...
What Is the Difference Between a Demand Curve and a Supply Curve? A demand curve represents the relationship between the price of a good or service and the quantity demanded for a given period of time. Typically, as the price rises, the demand falls; as a result, the curve slopes down ...