How is price mechanism or supply and demand concerned, Biology

Assignment Help:

How is price mechanism or supply and demand concerned?

 

The price mechanism or supply and demand:

The price mechanism or supply and demand is concerned with how buyers and sellers interact together in order to arrive at a market price. Where demand equals supply this would be at the ‘equilibrium price and quantity’, always found automatically within a perfectly competitive market when buyers and sellers interact. The price mechanism is used also to explain how a free market economy or the private sector allocates resources and determines a market price within an industry.

780_The price mechanism or supply and demand.png

The equilibrium quantity and price Q1 and P1 is represented through the diagram as demonstrated above, here is no shortage or surplus into the market or demand equals supply and hence the market is into equilibrium (or balance) along with no downward or upward pressure for prices to increase or fall correspondingly.


Related Discussions:- How is price mechanism or supply and demand concerned

How is litmus paper, How is litmus paper and testing for acid, base, and ne...

How is litmus paper and testing for acid, base, and neutral, related to biology?

What are seed gums, What are seed gums? What are its characteristic propert...

What are seed gums? What are its characteristic properties? Seed gums are a group of polysaccharides with the following properties: light to dark cream colored amorphou

Cranial nerves, The cranial nerves are composed of twelve pairs of nerves...

The cranial nerves are composed of twelve pairs of nerves which emanate from the nervous tissue of brain. In order to reach their targets they should ultimately exit/enter the cr

How much dopamine do need add from a stock, A cat has just arrived to the v...

A cat has just arrived to the veterinary clinic with low blood pressure. The cat weighs 5 kg, and as the on call Vet you want to use a bag of saline to prepare a dopamine drip for

What is the neuromuscular synapse, Q. What is the neuromuscular synapse? ...

Q. What is the neuromuscular synapse? Neuromuscular synapse is the structure through which the neural impulse passes from the axon of a motor neuron to the muscle cell. This st

What is the kind of digestive system of echinoderms, Q What is the kind of ...

Q What is the kind of digestive system of echinoderms? Echinoderms present a complete digestive system with anus and mouth. Q. Do sea urchins have teeth? Sea urchins ha

What is the difference between lungs and gills, Q. What is the difference b...

Q. What is the difference between lungs and gills? Lungs and Gills are richly vascularized organs that serve for gas exchange between the environment and the circulatory system

In dental traumatology-Pulp Tissue revascularization, In Dental Traumatolog...

In Dental Traumatology Traumatic injuries in young kids (8 to 14 years old male > female)  are commonly nowadays. Dental traumatic injuries are mostly in anterior teeth

Explain the fructo oligosaccharides (fos), Explain the Fructo Oligosacchari...

Explain the Fructo Oligosaccharides (FOS)? FOS are polymers of fructose, usually attached to an initial glucose molecule. The total number of fructose units range from 2 to 8 a

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