Market forces generally is taken to mean the determinants of supply and demand. Generally where supply and demand meet is the equilibrium price ie optimum price for a given product. If either the supply or demand changes then the price will be affected. For example, currently we have a demand for housing which cannot be met with the existing supply (as well as the fact of having low interest rates) so with each sale of property the price goes up. This continued for some time until we had the credit crunch and the supply of money (mortgages) became severely restricted thereby reducing the demand for property and ultimately prices are coming down (except for London).
Would it not be a Monopolistic with imperfect market structure
Price based market system strictly depends on the laws of demand and supply. No influence by any outside force because market by itself has the force decide. It effectively helps in sorting out the deficit commodity for the needy.
Write notes price determination of demand 400 words
Price is determined at the point of equilibrium. Equilibrium is a point of balance. In other words, equilibrium is the point at which quantity demanded and quantity supplied is equal. That is, market equilibrium refers to a condition where a market price is established through competition such that the amount of goods or services sought by buyers is equal to the amount of goods or services produced by sellers. This price is called equilibrium price.
A
Would it not be a Monopolistic with imperfect market structure
Price based market system strictly depends on the laws of demand and supply. No influence by any outside force because market by itself has the force decide. It effectively helps in sorting out the deficit commodity for the needy.
Price based market system strictly depends on the laws of demand and supply. No influence by any outside force because market by itself has the force decide. It effectively helps in sorting out the deficit commodity for the needy.
A market force comes about by creating the supply for a specific demand. The supply and demand represent the influence of buyers and sellers on the price and quantity of the goods and services provided by the market.
Write notes price determination of demand 400 words
market force and company's 'value'.
Price based market system strictly depends on the laws of demand and supply. No influence by any outside force because market by itself has the force decide. It effectively helps in sorting out the deficit commodity for the needy.
Price is determined at the point of equilibrium. Equilibrium is a point of balance. In other words, equilibrium is the point at which quantity demanded and quantity supplied is equal. That is, market equilibrium refers to a condition where a market price is established through competition such that the amount of goods or services sought by buyers is equal to the amount of goods or services produced by sellers. This price is called equilibrium price.
The answer choices for this question weren't provided. But the most important influence on supply is demand. Supply and demand is an economic model of price determination in a market.
market price
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Determination by one's self; or, determination of one's acts or states without the necessitating force of motives; -- applied to the voluntary or activity.