photo credit Goods are things consumed by consumers to fulfill heir wants. The goods can be classified in to two. They are Economic goods and non- Economic goods1. Economic goods - The goods that is produced using scarce resources by people are known as the economic goods.Since scare resources are used to produce economic goods the economic goods also ...
image credit The following set of problems are based on the lessons of the market equilibrium and the change of the equilibrium due to government intervention 01-You are given the following information of a commodity that exchange at the market..Price Excess Demand5 107 -108 -2010 -40 The value of the slope of the demand curve is 1/5.Free market equilibrium quantity ...
In economics, variables are the attributes that can be measured or quantified. Value of any variable may change. Price level, interest rate, profit, output(GDP) are few examples for the variables in economics. Variables can be distinguished in to two types. They are, 1. Independent Variable2. Dependent VariableIndependent Variable is an variable of which its value change freely. The change in ...
When there is a functional relationship between two variables we can measure a value for the Concept of Elasticity. In order to do this we need values for two variables -the independent variable and the dependent variable. By measuring elasticity we find the responsive change in the dependent variable to a change in the independent variable. In other words, when ...
Previous lesson - Quantity Demanded vs Demand Change in price of a product causes to change the quantity demanded. The quantity demanded is represented by a one point on the demand curve at a particular price. Hence the change in quantity demanded is represented by movement from one point to another on the same demand curve.Quantity demanded may rise ...
