Allocation function, Microeconomics

Assignment Help:

Allocation Function

The shifting or reallocation of production property into or out of markets based on shifts in prices for the products or services produced in that market. If price moves in a technique that indicates an increase in requirement, more firms may try to enter that market and gives a supply to meet that requirement.  Conversely, if price shifts in such a way that demand looks to be diminishing, several firms may choose to leave the market and direct their resources elsewhere.


Related Discussions:- Allocation function

Explain labour intensity, Q. Explain Labour Intensity? Labour Intensity...

Q. Explain Labour Intensity? Labour Intensity: Ratio of labour effort expended, compared to total on-the-job compensated labour time. A higher ratio of labour intensity reflect

Inflation-unemployment trade-off under rational expectations, Inflation-Une...

Inflation-Unemployment Trade-off under Rational Expectations : Robert Lucas (1972) pointed out another implication of the above hypothesis of adaptive expectations. Suppose in

Stoichioemtry and moles, How would you convert from moles of iron(III) oxid...

How would you convert from moles of iron(III) oxide to moles of carbon monoxide?

Impacts on the mauritian economy, Problem: (a) Define money and briefl...

Problem: (a) Define money and briefly explain its core functions. (b) Explain the relationship between interest rate and price of bonds, illustrate using example. (c)

Determine the increase in money supply, Is it true to say that inflation ca...

Is it true to say that inflation can only sustain with the increase in money supply?  Inflation can only be sustained if there is a persistent enhance in money supply. If there

Why expect that the inflation rate to accelerate, 1) The Economy cannot be ...

1) The Economy cannot be considered fully employed unless the measured unemployment rate is below 1%. Agree or disagree and explain your answer in a paragraph. 2) A) Why would y

Distinguish between interventionist and market-led strategy, Distinguish be...

Distinguish between interventionist and market-led strategies of development. Explanation of interventionist strategy; heavy government involvement in the planning of output, p

Bandwagon effect, In the diagrams related to bandwagon effect, why do we sa...

In the diagrams related to bandwagon effect, why do we say when the price is 30$ the demand is 40?

Why is the concept of scarcity relevant to both ldc and mdc, Why is the con...

Why is the concept of scarcity relevant to both LDC s and MDC s? All societies throughout time have wrestled with the basic economic conundrum of having needs that cannot be me

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd