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Archive for the ‘Economics’ Category

Price Elasticity of Demand and Supply

Monday, May 30th, 2016

Price Elasticity of Demand and Supply

Price elasticity is a very important notion in economics, which, however, is not always recognized by students. Let’s imagine that certain firm increases the prices for its products. Many of us may suppose that in this case, the firm has an opportunity to increase the total revenue from the sale of products. But in fact, it doesn’t. It is even possible, that increase in price will lead to the decrease in total revenue because the demand on firm’s product also decreases. That’s why the price elasticity has the great significance for producer of goods and we’re going to tell you how it works in this article. (more…)

Influence of Taxation on Supply and Demand

Wednesday, April 27th, 2016

Influence of Taxation on Supply and Demand

It’s not a surprise that many students have difficulties with the notions of demand and supply. Let’s say, your instructor asks you to plot the demand and supply curves and tell how the increase of taxation affects demand and supply. And what comes to your mind? If nothing really useful, this article will shed the light upon these issues. Here, we tell you about how to plot the demand and supply curves and how to correctly analyze them. (more…)

Market control using the Maslow’s theory

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What would you say if someone was able to accurately predict all of your desires and wishes? Sounds crazy, but we can assure you that not so long ago one man was conducting researches to provide this possibility. His name is Abraham Maslow, American psychologist, who is more known for his works in the field of psychology of human needs and the foundation of the revolutionary ideas of the hierarchical model of human needs. Let’s here discuss the latter in economics that is necessary for the critical analysis of the markets and building a marketing strategy.  (more…)

What Do Bulls and Bears Mean in Stock Market?

Bulls and bears

Do you know who are bulls and bears? Of course, this is not about zoology 🙂 Speaking of economics and financial markets, bulls and bears – these personages have become classics – represent the two major market forces, buyers and sellers. Initially, such a comparison was used on the stock exchanges, but later it made its way in respect of any other participants in financial markets.

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