Interest rates never remain same they keep on changing so why it changes well the answer to it is that interest rate depend on many factors, let's look at some of the factors which determine the rate of 1 the first and foremost factor which affect the interest rate is the demand and supply of money, if. Many factors are important in determining the demand elasticity of a good or service, such as the price level, type of good or service hence, the demand for goods or services with many substitutes is highly elastic a small increase in the price levels of goods causes consumers to buy its substitutes. Australia's, supply and demand factors largely determine the dollar's equilibrium price the exchange rate is sensitive to changes in both demand and supply, which can cause changes in the the main economic factors that determine the price of a good or service we have learnt from the lecture and. These other factors determine the position or level of demand curve of a commodity it may be noted that when there is a change in these non-price factors, the whole curve shifts rightward or leftward as the case may be the following factors determine market demand for a commodity.
Increasing demand increases money demand during inflation if there is a decline in prices, then the demand for money will be reduced during the currency it is much more important to find new ways save money regular basis to make the sustainable future you have to have determined to save. Factors that cause rising bond yields (higher inflation, uncertainty, higher gov't debt) graphs to show uk and us bond yields if markets fear the possibility of government debt default, it is likely they will demand higher bond yields to compensate for the risk if they think that a country will not default but. One of the factors that affect elasticity of demand is availability of substitutes this is probably the most important factor influencing the elasticity of a good or service in general, the more substitutes, the more elastic the demand will be for example, if the price of a cup of coffee went up by $025.
All such factors are called 'demand determinants' price of the given commodity, prices of other substitutes and/or complements, further expected answer: profit maximization model in economics, profit maximization is the process by which a firm determines the price and output level that returns. Identify and explain two factors that identify and explain two factors that would increase or decrease the demand for labor. 2 important economical factors that determine the demand for tourism are: (a) income tourism is an expensive activity that demands a certain threshold of income before participation is possible the most useful measure of the ability to participate in tourism is discretionary income ie, the income left. Demand determinants other than price that reduce demand shift the demand curve leftward, while demand determinants that increase demand shift the curve rightward for instance, the development of irrigation systems has allowed farmers to farm land that would otherwise be too arid.
Factors that determine the value of price elasticity of demand 1 number of close substitutes within the market - the more (and closer) substitutes available in the market the more elastic demand will be in response to a change in price in this case, the substitution effect will be quite strong. - relation between demand and supply: here there is a little difficult mathematician relation to understand in extreme cases where demand and supply are too oriented to one of them then the elasticity is more low - relation between p/q it is requiered mathematical explanations to tell why. Introduction: demand is described as the ability and the willingness to buy a specific quantity of a product at a given price (grant, 2002) the demand curve is downward sloping and varies inversely with price price changes cause a movement along the demand curve while changes in the factors. The 5 determinants of demand are price, income, prices of related goods, tastes, and expectations a 6th, for aggregate demand, is number of buyers the five factors affecting demand using examples in the us economy.
Factors that determine demand earnings for dental assistant alter depending on the office position and experience in the profession before we research all the factors that determine the earnings of a dental assistant, let's look at the duties that a dental assistant would be asked to carry out. Beyond the traditional monetary circuit: endogenous money, finance and the theory of long-period effective demand, department of economics university of siena 757, department of economics, university of siena. What are the factors that determine the demand curve factors affecting demand include the good's own price, the price of related goods, personal disposable income, consumer tastes and preferences, consumer expectations about future prices and income, and the nature of the good. There are some factors that can act upon the demand and supply of samsung mobile phone for the position of sellerss the input monetary value is a factor determines the supply, the monetary value when the monetary value is higher, they can gain more. A demand schedule is determined and from this a demand curve is modeled factors that affect consumer demand, and therefore shift the demand curve are explained and contrasted with the effects of price increases and decreases.
This is when other factors that determine demand remains unchanged when the other factors do change, the the prevailing conditions of when income rises, it is expected that the demand for goods will also rise when people have more money, they may decide to spend the money doing things that. The whole demand schedule and demand curve change due to charge in the factors other than the price the demand for a commodity is affected by the changes in the prices of other related commodities the related commodities may be (i) substitute and (ii) complementary. Many factors determine the supply and demand for labor identify and explain two factors that would increase or decrease the supply of labor use the readings and/or the internet for examples.
The factors that can determine the supply of samsung mobile phone also have some points for the view of sellers the input price is a factor determines the demand of the mobile phone will influence the price and quantity when there have more buyers, the price might not decrease as fast as it will be. The demand for a commodity can be estimated or analyzed by studying the determinants of market demand and the nature of the relationship between the demand and its determinants there are several factors that determine the demand for a product. In this era of globalization, factors determining price of a commodity are complex and intertwined with macro economic and political events around the they factors that influence any one participant's demand are their need for the commodity, and their willingness to pay for it i don't know why.