Why is the law of demand and the law of supply a useful economic model

Q: What are the implications of the fundamental theorems of welfare economics for the organization of…

A: The study of how the distribution of wealth and goods influences social welfare is known as welfare…

Q: What is the fundamental assumption upon which the Law of Supply is based? A. The higher the demand…

A: In a market, law of supply and law of demand are basedon some fundamental assumption about the…

Q: the differences of microeconomics and macroeconomics

A: Microeconomics and Macroeconomics both are the branches of economics. Here, microeconomics deal with…

Q: Which of the following predictions is not made by the supply and demand model?

A: Option b is the correct answer   b .market which is out of equilibrium will       always move…

Q: Economics is a social science which deals with human behavior as a relationship between ________. a.…

A: It is said that Economics is a social science which deals with human behavior as a relationship.

Q: In a market economy, one of the following answers would not affect labor supply. Which one? Group of…

A: Labor supply shows different quantities of labor supplied at different wage levels

Q: The following graph shows the market demand for new homes in a local community. Suppose that a…

A: A increase in the crime rate in the local community will result in demand for new homes to fall in…

Q: How will apply the principles of shifting demand and supply in economics

A: There are 2 important principles that apply in shifting demand and supply in economics. The demand…

Q: Ben says that "An increase in the tax on beer will raise its price." Holly argues that "Taxes should…

A: Positive economics is a surge of financial matters/economics that centers around the portrayal,…

Q: In the market for computers, the number of computer producers increases. At the same time, people’s…

A: There is a simultaneous increase in both demand and supply.  Increase in number of producers…

Q: What is Microeconomics? What is the price elasticity of demand? What are the various methods of…

A: Economics is a study that has a broader scope and includes all the factors that affect the economic/…

Q: A survey shows an increase in drug use by young people. In the ensuing debate, two hypotheses are…

A: The correct answer to the above-mentioned question is that the difference between the two…

Q: classify the following as microeconomics or macroeconomics and provide a justification for your…

A: Microeconomics is the study of human behavior or individual unit. The main concern of the study is…

Q: Are effects of an increase in the supply of lumber on the home building industry microeconomics or…

A: Specialists say a few elements added to the timber deficiency: lockdown orders, new security…

Q: Please give a detailed answer for the below image.

A: Microeconomics is the study of Economics that deals with the study of individual, household and…

Q: When we analyze the general equilibrium model, why do we ignore the equilibrium for the non-monetary…

A: The general equilibrium model is one of the models which is used for analyzing the economy as a…

Q: Which of the following questions can be answered using the concepts of macroeconomics? Why does the…

A: Economics has two core branches, macroeconomics and microeconomics. Microeconomics is the study of…

Q: Which of the following is Microeconomics concerned with? А. The size of national output В. The level…

A: Microeconomics is that which relatively deals with the single unit of the individual behaviour and…

Q: Determine whether each of the following topics would more likely be studied in microeconomics or…

A: Microeconomics deals with the behavior of an individual, firm or a specific market, while…

Q: What will happens to equilibrium price P" and equilibrium quantity Q* if a) The price of cocoa falls…

A: When cost of production falls, supply curve shifts rightwards. When cost of production rises, supply…

Q: Explain how microeconomics differs from macroeconomics. Which of the following headlines, taken from…

A: Economics is all about the well-being of individuals with jobs and also the individuals without…

Q: Which of these statements best describes what microeconomics is? a. The study of National Income a…

A: Economics is the branch of knowledge which is concerned with production, consumption and…

Q: What is the difference between microeconomics and macroeconomics? What is comparative advantage?…

A: Economics is a study related to the production, distribution and finally the consumption of…

Q: In each of the following cases, determine how supply or demand shifts and how the equilibrium…

A: a.) When the microchips used in smart phones are become less costly, then the supply of the…

Q: Is there any graph that can show about the Malthusian Theory of the decreasing in supply food that…

A: The Malthusian argues that population increases at a geometric rate and food supply increase at an…

Q: Differentiate Microeconomics from Macroeconomics

A: There are two main branches of economics: Microeconomics and Macroeconomics. Microeconomics is the…

Q: Which of the following are examples of positive economics? (please choose all the answers that are…

A: Positive economics can be described as about the condition or scenario of "what is." It is explained…

Q: Of the statements below only ONE is not a characteristic of a market economy (as stated in the…

A: An economic system is a way for governments or communities to distribute and organise resources,…

Q: In the basic supply-and-demand model, a buyer only purchases a good when?    if the price is lower…

A: The demand and supply model shows the relationship between the selling quantity of products and…

Q: Which of the following statements about economic models is correct? a) models are built to mirror…

A: In economics, economic agents have to make rational choices so that the limited resources in the…

Q: Given that most people like to get ‘free stuff,’ it follows that goods that are available free of…

A: The following problem has been solved as follows:

Q: The real world is dynamic. If so, why do agricultural economists continue to rely so heavily on…

A: Comparative statistics is defined as the comparison that is made between two outcomes. It studies…

Q: Identify each of the following topics as being part of microeconomics or macroeconomics: The impact…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: Provide two microeconomic statements and two macroeconomic statements

A: Macroeconomics studies the economy as a whole and not just on specific companies. For example,…

Q: Which of the following is correct? Economics is the study of the individual. Economics is defined…

A: Here We have to find economics definition.

Q: Indicate whether each of the following questions applies to Microeconomics or Macroeconomics Is the…

A: Micro economics deals with economic problems at the micro level. Individuals good, factor price ,…

Q: Determine whether each of the following topics would more likely to be studied in microeconomics or…

A: Definitions: Microeconomics: Microeconomics is a branch of economics that deals with consumer…

Q: Macroeconomics  Group of answer choices is the efficient allocation of societies scarce resources is…

A: Scarce resources are those resources which are present in limited quantities.

Q: The economic perspective refers to:         macroeconomic phenomena, but not microeconomic…

A: Economics is a social science covering the processing, delivery, and consumption of goods and…

Q: In the capitalist economic system, the individuals through the forces of demand and supply interact…

A: In a capitalist economy, resources are owned and controlled by industrialist private owners. Though…

Q: Classify the following as microeconomics or macroeconomics and choose a justification for your…

A: In an economy, microeconomics defines economic activities related to one sector, firm, or an…

Q: What is the difference between static and dynamic analysis in economics? When is each appropriate?

A: An economic analysis is a method used by specialists to determine how significant economic elements…