Would you expect supply to play a more significant role in determining the price of a basic necessity like food or a luxury like perfume?

Q: Enumerate Similarities of the concept of demand and concept of supply.

A: The concept of demand says that at higher costs, purchasers will demand less of an economic goods.…

Q: Draw the supply and demand curve for pencils. Gwinnett county provides every student with a laptop…

A: Here, as every student is provided with laptops at school, the students will work more with the…

Q: What are the results of “changes in price”? How does this differ from “changes in demand”?

A: The willingness of a consumer to purchase goods and services at a certain price is known as demand.

Q: what will An increase (rightward shift) in the demand for a good will tend to cause

A: Introduction Demand can be defined as the amount of goods or services that a consumer is willing to…

Q: What can we expect to occur to hot dog buns if the price of hot dogs were to decrease?

A: Law of demand - If other things remains constant, decrease in price of a good will increase the…

Q: If the price of a product decreases by 10 percent and the quantity demanded increases by 5 percent…

A: Price Elasticity of Demand measures the percenatge change in quantity demanded due to percentage…

Q: If the supply curve shifts to the right, what is likely to happen to price and quantity?

A: The quantity of an item or service that producers are willing and able to provide for sale at…

Q: What is meant by a change in supply, and change in quantity supplied?

A: The idea of supply is used in economics to estimate the volume of a good or service produced by…

Q: How are quantity supplied and quantity demanded affected by changes in prices? Give an example of…

A: Demand is the quantity of the items that consumers are requesting at a specific price and time.…

Q: why is it possible to have a 150% increase in price but not a 150% decrease in price?

A: Price alludes to how much money that an individual or substance need to pay in exchange for a…

Q: Over the past 20 years, the average price of avocados has more than doubled. Assume that the price…

A: 1 - Yes , it is the reason for rise in price . This is because more health benefit will lead to rise…

Q: explain and  Elaborate all possible effects of change in price to the equilibrium of consumer.

A: Consumer choice about what commodity he should consume and in what quantity depends on the price of…

Q: Does a change in consumers' tastes lead to a movement along the demand curve or to a shift in the…

A: Demand- it is the total amount of good or service that consumer is willing to consume or purchase at…

Q: Figure 16.4.1 9) Refer to Figure 16.4.1 above. At point B on the graph, there is: A) an excess…

A: Excess Supply: This occurs when  the quantity of a good or service supplied by producers exceeds the…

Q: The law of supply states that, other things remaining the same, A) if the price of a good increases,…

A: Law of supply states that there is a positive relationship between price and quantity supplied. Both…

Q: What are five things that will shift a supply curve to the right?

A: Five things that will shift a supply curve to the right are as follows 1.Increase in technology…

Q: How Demand and Supply Establish Prices?

A: Supply and demand is an economic model for determining the price of goods and services. Demand for a…

Q: Explain why a demand curve will shift. Explain why a supply curve will shift. What are the…

A: Demand refers to the total amount of a good which an individual is able, and willing to buy at the…

Q: Will an increase in a price of a good increase the expenditure on that good? Why?

A: The term "expenditure" describes the sum of money that is spent over a predetermined time period on…

Q: When the price of a haircut goes down, in what direction does the quantity supplied move on the…

A: Change in price will cause movement along the supply curve and it cause. expansion or contraction of…

Q: What is the concept of demand and supply in economics, and how do they affect the price of goods and…

A: Economics is a subject which deals with scarce resources and unlimited wants of the people. It…

Q: At a given quantity supplied, what does the supply curve show?

A: Supply refers to the complete amount of a particular product or service that is available to…

Q: Draw the supply and demand curve for pencils. Gwinnett county provides every student with a laptop…

A: Demand refers the total amount of goods and services that are willing and able to buy at the…

Q: During the Civil war, if shopkeepers expected the price of butter to increase in the future, what…

A: Introduction Price and demand are negatively related to each other whereas price and supply are…

Q: Sometimes the demand may be abnormal, meaning that the law of demand does not apply to the…

A: According to the law of demand, other things being equal, if there is an increase in the price of…

Q: Why are economists so particular about the difference between an increase in quantity demanded and…

A: The economics as a study is based upon the basic idea that there is scarcity present in each…

Q: What term would an economist use to describe what happens when a shopper gets a “good deal” on a…

A: Economists uses a term called consumer surplus when a consumer gets a ‘good deal’ on a product. This…

Q: Explain by graph the situation when the quantity demanded greater than the quantity supplied in the…

A: Market equilibrium is the situation when the quantity demanded is equal to the quantity supplied.…

Q: Fully explain the difference between a change in supply and a change in quantity supplied

A: Introduction  Change in supply due to change in any of the factors that were assumed constant under…

Laffer Curve Analysis

In terms of economics, the Laffer curve was popular among those economists who were or who belonged to the supply side of the economic peripheral.  This concept was popularized by the famous supply-side economist known as Arthur Laffer. This curve illustrated the relationship between the tax rates and government revenue. It is already known that the tax which the public or individuals residing in an economy bear is the revenue or income of the government with the help of which the government does all the necessary works in the society, which is beneficial for the economy.