0
Want this question answered?
Be notified when an answer is posted
Add your answer:
Earn +20 pts
A reduction in market price will lead to an increase in what?
Quantity demanded
According to the law of supply What does an increase in the price of a good service or resource lead to an increase in?
Supply. If you are a supplier of a good - the price for your good increase - you will produce more to take advantage of this
Why is medicine price inelastic?
I assume you mean the DEMAND for medicine, not its supply.It's because a small increase in price doesn't get people to stop taking their medicine. A LARGE increase in price, however, will lead to people taking less.
What cause can lead to a raise in prices?
Price increases can be caused by a variety of factors. One is the cost of raw materials can increase. An increase in the price of gas can also cause goods to increase, because most goods need to be transported.
What can an increase in income be expected to cause?
This will depend on whether this increase is temporary or permanent (winning the lottery or increased salary). A temporary increase in income will mainly lead to a temporary increase in savings, whereas a permanent increase in income will increase current consumption. This is referred to as the permanent income hypothesis.
A reduction in market price will lead to an increase in what?
Quantity demanded
According to the law of supply What does an increase in the price of a good service or resource lead to an increase in?
Supply. If you are a supplier of a good - the price for your good increase - you will produce more to take advantage of this
What is most likely to lead a increase in the price of a company's stock?
A good earnings report
Which is most likely to lead to an increase in the price of company's stock?
Once a company goes public and its shares start trading on a stock exchange, its share price is determined by supply and demand in the market. If there is a high demand for its shares, the price will increase.
Why is medicine price inelastic?
I assume you mean the DEMAND for medicine, not its supply.It's because a small increase in price doesn't get people to stop taking their medicine. A LARGE increase in price, however, will lead to people taking less.
What cause can lead to a raise in prices?
Price increases can be caused by a variety of factors. One is the cost of raw materials can increase. An increase in the price of gas can also cause goods to increase, because most goods need to be transported.
What of these is most likely to lead to an increase price of a company's stock?
Answer : Its profits increase. Explanation : When a company is more profitable, it's stock is in higher demand, and higher demand means a higher price.
How did the gas shortage lead to changes in the American auto industry?
Gas went up in price because of the shortage.
What can an increase in income be expected to cause?
This will depend on whether this increase is temporary or permanent (winning the lottery or increased salary). A temporary increase in income will mainly lead to a temporary increase in savings, whereas a permanent increase in income will increase current consumption. This is referred to as the permanent income hypothesis.
What is an increase in demand likely to lead to?
If there is an increase in demand, there will be increase in the price of the product if the supply remains the same. But if the manufacturer or supplier is able to supply increased quantity of product there will be no major effect.
What is most likely to lead to an increase in the price of a company's stock?
It's profits are increased.
What characteristics lead to a downward-sloping demand curve?
An increase in purchasing power as market price decreases.Diminishing marginal utility.
