Essay on Demands and Supplies in Education and Government

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Our world is energized with constant demand and supplies. Education is no exception. Government demands that children in a specific age group should have school exposure. To this end, the public schools offer subsidies to increase the 'supply' of students (i.e. to attract more students into education). However, the same application of subsidy to private schools does not yield practical intended results as private school education is mostly by choice and does not come under the direct impact of demand and supply, as we will see it. The argument that government should eliminate subsidies to the private schools, is therefore, reasonable. We will discuss why. Theorize What is Demand? In simple terms, "want" is the desire for goods and…show more content…
If the data from the supply schedule table is charted, it will demonstrate the supply curve. Below is a hypothetical table showing the amount of stuffed animals supplied at different prices. Now, the Law of Demand and Supply is contextual in our discussion. The law of demand states that as price decreases, quantity demanded increases. An inverse relationship exists. The law of demand is dependent on ceteris paribus -- all other factors remaining unchanged (Hoffarth, 2007). Thus, when the price of a product or service increases, the demand for the product falls and vice-versa. The demand curve is a negatively sloped curve. Clearly, when the price of the commodity increases from price p3 to p2, then its quantity demand comes down from Q3 to Q2 and then to Q3 and so on. The Law of Supply states that other factors remaining constant, price and quantity supplied of a good are directly related to each other. In other words, when the price paid by buyers for a good rises, then suppliers increase the supply of that good in the market. This means higher the price, higher the quantity supplied. Producers supply more at a higher price because selling a higher quantity at higClearlyher price increases revenue. The supply curve is a positively sloped curve. A, B and C are
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