--%>

Explain opinion of Stonier and Hague for Demand in economics

Illustrates the opinion of Stonier and Hague for explaining Demand in economics?

E

Expert

Verified

According to Stonier and Hague, “Demand in economics implies demand backed up by sufficient money to pay for the goods demanded”. Conversely, demand means the desire backed through the willingness to buy a commodity and purchasing power to pay. Therefore desire alone is not adequate. There should have necessary purchasing power, that is, cash to purchase it. For illustration, everyone desires to posses Benz car but only some have the capability to buy it. Therefore everybody cannot be said to have a demand for the car. Therefore the demand has three essentials-Desire, Purchasing Willingness and power to purchase.

   Related Questions in Managerial Economics