--%>
Assignment Help - homework help

Illustrate Other Things Equal revisited in Supply

Illustrate “Other Things Equal” Revisited in Supply and Demand, and Equilibrium?

E

Expert

Verified

Remember that the “laws” of supply and demand depend on the assumption that the “other things” or “determinants” of demand and supply are constant. Confusion results if “other things” (determinants) change and one does not take this into account.  For example, sometimes more is demanded at higher prices because incomes rise, but if that fact is ignored, the law of demand seems to be violated.  If income changes, however, there is a shift or increase in demand that could cause more to be purchased at a higher price. In this example not remain constant is “other things”.

   Related Questions in Business Economics

  • Q : Nature and Scope of Economics Nature

    Nature and Scope of Economics: Introduction Economics is a social science that

    		•
  • Q : Meaning of invisible hand according to

    Adam Smith’s opinion of an “invisible hand” powerfully implies the meaning that: (w) pursuit of individual self interest must be controlled. (x) most people lose sight of what’s good for society. (y) most peopl

    		•
  • Q : Define the term Abstractions in

    Define the term Abstractions in economics?

    		•
  • Q : How can we evaluate cost of capital How

    How can we evaluate cost of capital?

    		•
  • Q : Utility with food coupons Question: In

    Question: In Vancouver the Salvation Army encourages people to make food voucher donations to panhandlers instead of simply giving them cash. You can buy a food voucher for $5 and give it to a panhandler who can use it to purchase food. The Sa

    		•
  • Q : Resources of private Capitalism I have

    I have a problem in economics on Resources of private Capitalism. Please help me in the following question. The Private individuals own most resources and find out how they will be employed in an economic system of: (1) Socialism. (2) Capitalism. (3)

    		•
  • Q : Illustrate Qualification in

    Illustrate Qualification in International Trade?

    		•
  • Q : Illustrate major economic flows that

    Illustrate major economic flows that link U.S. with nations.  Provide an example to illustrate each flow.  Explain the relationship between the top and bottom flows.

    		•
  • Q : Cornerstone of typical economic theory

    The cornerstone of typical economic theory derived through the work of Jeremy Bentham was the perception of (i) the wages fund. (ii) natural checks on population. (iii) increasing cost. (iv) utility. (v) surplus value.

    Q : What is American made in today’s global

    Illustrates how hard it is to define what is “American made” in today’s global economy?

    		•