The price system is constantly changing. The article uses the example of fuck up prices, stating that the final price represents a point of agreement among retailers, and consumers. This statement can be supported through the economics by stating this change would be a way of finding the equilibrium point between supply and demand. The quantity demanded is acquittance to be higher at a lower price; tho this also affects the quantity the producer is going to be willing to supply. The equilibrium point will be implant to maximize profit, and prevent surplus and shortages. The scare that occurred back in 2008, with the rumor that AR-15s were going to be outlawed, caused a major(ip) boom in business. Guns and ammunition were flying off the shelves.
The suppliers had no idea this was going to happen, so shortages occurred. Shelves were empty causing more than panic among the population. Once AR-15 were put back on the shelf, the one time $700 gun had jumped in price to $1,200. Did this stop the buyers from purchasing this utensil? No, people, acting in their own self-interest, still purchased the weapons and munitions. The price system and reached a new equilibrium between supply and demand.
another(prenominal) aspect discussed in the article was the 99 cent hamburger. The article, however did not discuss the idea of cost benefit analysis. large number dont realize that they think economically on a daily basis. Cost benefit analysis are performed thousands of times each day...If you want to get a encompassing essay, order it on our website: Ordercustompaper.com
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