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Q: How do you derive the demand curve for labour and capital using Leontief isoquants?
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How do you derive and discuss the aggregate demand curve by using both graphical and mathematical derivations?

How to Derive Demand curve mathematically. In Simple Language With simple Examples.


Definition of derived demand?

Derived demand - sales of business products that frequently result (or derive) from the sales of consumer products. Example, consumer demand for Ford cars increases, the company may increase its demand for paint spraying equipment ( a business product).


Derive aggregate demand curve from aggregate expenditure model?

an increase in price level would lead to a fall in AE, vice versa. So by plotting those points out, you can derive an AD curve


Assuming increase a price of commodity X where x is an inferior good decompose the total effect of price change into substitution n income effect also derive the demand curve?

decompose total effect of price increase for an inferior good and giffen into substitution and income effect, in each case derive both the ordinary and compensated demand curve


How is it possible for many elasticities to be associated with a single demand curve?

This is possible because demand is a function of many many factors. The biggest ones are price and wealth (also known as income). If an agent's income goes up, their demand for any given good will also good up. If the price goes up, an agent's demand will go down. Thus you have the price and income elasticity of demand. In a market with two goods, if agents divide their income amongst goods (for instance apples and oranges), you could easily derive a cross-price elasticity of demand that measures how much the price/demand of one good changes when the other good changes.

Related questions

How do you derive and discuss the aggregate demand curve by using both graphical and mathematical derivations?

How to Derive Demand curve mathematically. In Simple Language With simple Examples.


Where does the name athens the capital of Greece derive from?

It is named for its patron goddess Athena.


How would you derive the demand for milk in a local grocer?

Grocer needs to carry more mother phucking milk. :)


Derive aggregate demand curve from aggregate expenditure model?

an increase in price level would lead to a fall in AE, vice versa. So by plotting those points out, you can derive an AD curve


Definition of derived demand?

Derived demand - sales of business products that frequently result (or derive) from the sales of consumer products. Example, consumer demand for Ford cars increases, the company may increase its demand for paint spraying equipment ( a business product).


What is an example for demand?

Derived demand comes from demand for another product. For example, if coal is in high demand, then there will be derived demand for mining. Another example: A farmer grows crops. In order to grow crops he needs fertilizer. Therefore, the amount of fertilizer he needs to buy, will derive from the amount of crops he needs to grow. Basically, derived demand comes as a result of demand for something else.


What is an example for derived demand?

Derived demand comes from demand for another product. For example, if coal is in high demand, then there will be derived demand for mining. Another example: A farmer grows crops. In order to grow crops he needs fertilizer. Therefore, the amount of fertilizer he needs to buy, will derive from the amount of crops he needs to grow. Basically, derived demand comes as a result of demand for something else.


Assuming increase a price of commodity X where x is an inferior good decompose the total effect of price change into substitution n income effect also derive the demand curve?

decompose total effect of price increase for an inferior good and giffen into substitution and income effect, in each case derive both the ordinary and compensated demand curve


How Capital Financing Rates Are Determined?

Capital programs derive from numerous factors which could include: business credit, personal credit of entrepreneurs, equipment cost, amount of time in business, kind of collateral, and period of financing term.


Derive the castiglinos theorem?

Derive the castiglino's theorem


Where does the word gargantuan derive from?

it derive from Negro...lol


Use derive in a sentence?

I derive that this question needs to be moved.