Several determinants of demand besides price
Illustrate the several determinants of demand besides price which affect demand?
Expert
Changes in determinants cause changes in demand. There are several determinants of demand besides price which affect demand are:-
a. Tastes—-favorable change leads to increase in demand; unfavorable change to decrease.
b. Number of buyers—the more buyers lead to an increase in demand; fewer buyers lead to decrease.
c. Income—more leads to increase in demand; less leads to decrease in demand for normal goods. (The rare case of goods whose demand varies inversely with income is called inferior goods).
d. Prices of related goods also affect demand.
i. Substitute goods (those that can be used in place of each other): The price of the substitute good and demand for the other good are directly related. If price of Budweiser rises, demand for Miller should increase.
ii. Complementary goods (those that are used together like tennis balls and rackets): there is an opposite relationship among price of one and demand for other when goods are complements.
e. Expectations—consumer views about future prices, product availability, and income can shift demand.
Dividing monetary prices from each other yields: (v) nominal prices. (w) relative prices. (x) subjective prices. (y) absolute prices. (z) transaction prices. Hello guys I want your advice. Please recommend some vie
9. The following table shows annual sales data for Stuff Happens, Inc., over the ten-year 1998-2008 period: Year Sales ($ Millions) 1998 $2.0 1999 2.2 2000 2.4 2001 2.6 2002 2.8 2003 3.0 2004 3.2 2005 3.5 2006 3.8 2007 4.1 2008 4.3 A. Calculate the 1998-2008 growth rate in sales using
Can someone help me in finding out the right answer from the given options. The Taft Hartley Act of 1946 made it illegal to encompass a: (1) Right-to-work law passed by the state legislature. (2) Conviction for the misdemeanor and serve as union officer. (3) Union for the agricultural migrants or go
Describe the Promoting stability?
Fiscal Policy:Public or government finance is a field of economics. This deals with budgeting the revenues and expenditures of government (i.e., or public sector). It is regarding the identi
For the question below, utilize the given information. The market for gizmos is competitive, with an increasing sloping supply curve and a downward sloping demand curve. With no govt. intervention, the equilibrium price is $25 and the equilibrium quantity is 10,000 gi
Elucidate types of unemployment?
Contrast how a market system and a command economy try to cope with economic scarcity?
Why are democratic regimes more conducive to economic growth than dictatorship
What do you mean by inflation
18,76,764
1946857 Asked
3,689
Active Tutors
1458381
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!