Microeconomics Essay Examples and Topics

If there is a large change in the price, but a slight change in the demand for a commodity, the relationship between the price and the demand is inelastic.

In this regard, price elasticity of demand is defined as the percentage change in demand for a given commodity due to unit change in price of the commodity.

Billions of people in all parts of the world sacrifice their ambitions and subconscious tensions on the altar of profitability and higher incomes. Yet, the opportunity costs of pursuing more money can be extremely high.

The price of milk in the short-term period will remain unchanged, as the growing demand for milk products does not reduce the costs of milk production.

The paper forms a thesis statement that " a viable economic network would be formed even when there are severe restrictions and a common currency is evolved and that the currency is subjected to ups [...]

Some of the factors that affect the demand and the supply of a computer include the following; the initial factor that can affect the supply of computer to a particular region is the demand of [...]

According to the Al Hilal Group, the UAE coffee market is set to grow by approximately 30% in the next five years buoyed by the increased dominance of the UAE as a key supply point [...]

This study seeks to explore the demand and supply of Apple IPod through the use of the laws of demand and supply.

The latter defines how the changes in the price of a substitute product affect the price of the one that is being discussed The elasticity is found by dividing the percentage change in the dependent [...]

A production possibility frontier is a curve that represents the rates of production of two commodities that use the same factors of production within a specified period.

This brings in the concept of opportunity cost to show the value of the needs that need to be satisfied first and those that need to be postponed to a further date.

Usually the higher the prices the higher the supply as opposed to the law of demand. This is to increase the supply of the commodity to meet the demand at a higher price.

The proposed increase will indeed benefit workers by raising their overall living standards by granting minimum wage employees a more appropriate pay level to contend with cost-of-living increases and the supply side of the labor [...]

The market price falls until the firms in the market start to make economic losses. In the long-run, the economic losses make the firms to exit the market.

Although the supply seems to meet the demand, the demand is constantly increasing, and the property begins to be reduced in supply as a large number of investors purchase the property.

Therefore, it can be concluded that exchange efficiency or efficiency in consumption is one of the main conditions that are necessary for Pareto Optimality.

In this case, the amount of income spent on university services is small, that is why an increase in fee charges by English University resulted in a fall in a demand for applicants.

This implies that the commodity is price elastic. In other words, the quantity demanded is quite sensitive to changes in price.

In examining the car industry, we should examine how the car industry affects the individual units: namely the firm and the household, and put into consideration recent events and phenomena noted within the international car [...]

In perfect competition, the level of output that maximizes the profit can be given by the value of output corresponding to the maxima of a profit curve or by the output that is responsible for [...]

The main reason why automatic stabilizers of the economy do not impact the economic curve, such as demand, is due to the fact that they are incorporated in the curve itself.

Notably, parties to private equity transactions are private equity fund managers, the company, and the bank proposing to lend some of the needed money.

In this kind of regulation, the government sets rules and regulations to control the operations of firms that have monopoly power in their own industry.

However, due to the fact that each of the firms has a slightly unique product compared to the rest of the firms, then each firm has a specific consumer and hence each of the firms [...]

If the curator chooses to go for the second alternative of lowering the price of admission, then the revenue to the firm will increase in case the number of visitors will be considerably increased.

The expansiveness of the UPS products can lead to the company losing a big part of its customers. The quantity change can evoke a demand increase as well if the company lowers the prices for [...]

In this context, "non-price drivers of air travel demand" refers to external variables other than airfare that may affect the demand for flights and cause a change in the shape of the demand curve.

The number of jobs in the economy equals the number of persons willing to work when the labor market is in equilibrium.

The use of natural resources at a rate higher than nature's capacity to restore itself will result in the pollution of air, water, and land.from the standpoint of the environmental crisis.

Therefore, in the short run, the behavior of the oligopoly model is that it is tough to enter such a market, especially if the economic scale does not measure up to the companies in the [...]

From the graph, assuming that the equilibrium price in the fruits and vegetable market was EQ0, the floods destroy the products in the fields and this causes a shift of the supply curve to the [...]

One of the players selected to be the "dictator" selects the optimal strategy depending on the move of another player and in turn putting pressure on them.

The law of demand is the inverse relationship between price and quantity demanded such that, if the price of a good increase, the quantity demanded will decrease.

This arises from a situation where the firm is no longer able to manage its unit cost of production. However, between a total production capacity of 250 units and 300, the firm is no longer [...]

The price of the cloth used to make khaki pants falls The price of the product is more likely to decline, if the cost of cloth declines, because the manufacturing expenses of companies will diminish.

Effective demand refers to the desire to buy, the willingness to pay, and the ability to pay for goods and services.

First are the natural monopolies which occur due to the fact that only the firm is able to access resources used in the production of the final product. Therefore, the equation TR=P*Q is represented by [...]

Supply chain executives continuously emphasize demand volatility and the lack of demand visibility as the greatest barriers to a company's innovation and growth.

This is a confirmation of competition in the market. In such a situation, the customer is indifferent as to the product to buy.

For instance, when the price of a product falls, the demand of the substitute product is affected and the government has to come in to adjust the allocation of resources so some people do not [...]

Macroeconomics Macroeconomics emphasizes on the bigger picture of the economy thus acquitting on how things in the world in terms of the structure, performance, behavior and decision making process of the whole economy.

Consequently, the primary goal of this paper is to understand the impact of taxes on the financial stability of the market for legal marijuana with the help of the law of supply and demand and [...]

This story touches upon the labor market's recovery from the shocks of the last financial crisis and the COVID-19 pandemic. Therefore, assistance from the state in the form of investments can be a benefit to [...]

With the help of microeconomics, business owners to analyze the effects of different factors on their business and make informed choices to maximize their profits and remain competitive in the marketplace. As a business owner, [...]

The country was free from the conservative dogmas of the old world, and the creation of monopolies led to the complication of their management.

The government is partly responsible for the scarcity of resources and inflation because of its poor economic planning and negligence, resulting in food insecurity and disruptions to the demand-supply equilibrium.

Manufacturing Statistics Qatar's economy is built in the gas-intensive industry, which allows it to allocate resources to the development of digitalization projects.

From the monetary perspective, loosening fiscal and monetary policy helped to curb the negative impact of social distancing on the economy in crisis and support the economic growth in difficult times.

Based on this data, it is possible to create the demand and supply model for the 2012 Mazda CX-5 Maxx in the market of secondhand cars.

As a case of tax incidence, it can be demonstrated that taxing these products will cause their prices to rise, which means that the consumers are the stakeholders who bear most of the tax burden.

In general, flotation costs may vary depending on the company's size and what actions will be taken before issuing shares to the public.

When evaluating the items ordered at grocery retail locations to those acquired at local traders' marketplaces, it is revealed that the commodities purchased at hypermarkets are more reliable and outstanding in form and structure.

Moreover, the case of the protagonist clearly indicates that the original determination to acquire wealth is, in many cases, rooted in traumas and lack of attention.

The construction industry is of great importance in the development of the state: the economic efficiency of related sectors of the economy is primarily ensured by the intensive development of construction.

The corresponding figures characterize the structure of economic dynamics and the diversification of the labor market. The research limitation is the multifactorial nature of economic growth and unemployment indicators.

On looking at other data related to the recession, it can be observed that personal consumption of the US economy fell in line with the fall in the growth of real GDP.

Also, since the two variables are not controlled; bank concentration and national institutions, the research argues, however, that the measures of concentration capture the efficient structure theory and market power theories.

In this scenario, the role of the administration manager will be to evaluate the program on SWOT analysis basis to determine whether the project is viable.

Therefore, it is important to think over these measures carefully and the current market situation to avoid a decrease in a company's production, demand, or profit.

The output gap can be negative or positive, and it is significant in determining policies to use in an economy. At the same time, expansionary fiscal policy is employed when there is a recession in [...]

This presentation outlines the economic model in the determination of the cost-effectiveness of a health technology based on NICE’s appraisal guidance.

According to the business Dictionary.com, a perfect competition market is a hypothetical free market with the following characteristics: the number of buyers and sellers is so large such that there is no single buyer or [...]

Coming to the issue of minimum wage, it is the "floor price" of labor that is determined by the federal government to guarantee fair wages to the workers.

You are a painter, and the price of a gallon of paint increases from $3. 00 a gallon to $3.

Besides, the principles that affect other areas of the economy such as labor and production in industries were well covered in the module, hence giving me the confidence of tackling production issues should I be [...]

From the definitions therefore of capital-intensive and labor-intensive methods, it will be correct to say that the method of production visible in the Maquiladoras is the Labour-intensive method of production. This is owed to the [...]

Channeling more resources in the production of certain products results in a reduction of resources channeled to the production of the alternative product.

Though the central bank may be very willing to stimulate the economy, people need to be involved and it is the confidence of people in the central bank that will help in the success of [...]

The second part of the book talks about the current situation as the world experiences the economic meltdown. The most remarkable strength of this book is the fact that it is about a current situation [...]

The focus of the reforms was to cause an increase in competition and to increase the performance in the private sector.

The declining value of British bound is more likely to decrease the consumption of the goods imported to the United Kingdom.

According to Cohen, Average Variable Cost is a company's costs of production that change with a variation in output of the firm.

The floods in 2010 were the most severe in terms of the extent and impact since the floods of the 1970s.

Hedgers are the participants in the derivatives market who come into the market to minimize the risk. Hedgers are also the ones who create the price in the market since their moves are not influenced [...]

This is a bad trend which severely hurts the supply of food in third world countries which are not food sufficient.

One of the latest examples of the unethical operations carried out by a company is the case of the South African Comforter's Healing Gift that was sued for the illegal and completely unethical testing and [...]

The mayor has positive goals for the city but requires objectivity to ensure that the new economic policy maintains the food-cart culture by ensuring ease of doing business.

Walras's law is an economic principle that suggests that the existence of excess supply in one market for a certain good must be balanced by an excess demand for a different good in another market [...]

Understanding how foreign businesses view the governance of the Saudi Arabia oil industry can help to improve it and attract more investors to the sector.

The U.S.ranks first in the number of people infected by COVID-19 and correspondingly in the number of deaths. However, it is possible to agree that the strategy of social distancing has a positive effect on [...]

The power of surge pricing should not be overestimated as the pre-emptive responses of drivers tend to improve, which would balance demand and supply.

The purpose of this paper is to analyze the motivations, market conditions, and the capacity of Amazon to establish itself as a new leader of courier deliveries, using Firm theory.

According to Charles Stein when the supply is limited and demand increases the prices rise and people are ready to pay more than these tickets really cost. There is a certain rule in the rise [...]

The measurement of customer satisfaction and evaluation of customer-perceived value are the two basic measurement models that allow anticipating customers' loyalty and preferences.

For instance, the 1929 great depression was a result of the collapse in investment spending which saw a decline in the aggregate demand. The deceleration in the investment during the recession periods further causes a [...]

His analysis of the tradeoff between resting and moving towards the ultimate destination was worthwhile while and his indifference curve analysis provided a great insight into the decision-making process of the individual.

The theory of externality explains the benefit or cost incurred by a third party who was not a party to the reasoning behind the benefit or cost. This will also lead to offer of a [...]

This paper seeks to analyze the economic implications of the move by critically looking at the economic models such as the demand and supply of uranium before and after the ban.

The microeconomics topics covered in this paper include an analysis of the determinants of an economic output, the levels of employment, the decisions made concerning different markets, government regulations on prices, financial markets and market [...]

In that regard, the author uses the term "price decoys" to describe Apple's strategy in setting the price for the product. The type of the market, in that regard, can be decisive in the product [...]

The dictation of the tea prices is carried out by auction and this implies that the cost of production is not considered in determining the price of tea on the market.

Thus, the major topic of the proposed paper is the analysis of pricing policies observed in the illiquid markets in the contexts of portfolio choices and overall economic conditions.

Supply and demand is one of the central concepts of capitalism, the leading economic system of the Western World as well as in such individual nations as Japan or Singapore.

The economic environment of the Irish products will include the availability of disposable income, the general business cycles, the trends of the GNP, the Interest rates of investments into the economy, the supply of money, [...]

This economics paper is based on the discovery made by one of the scientists whom I have been working with, so as to ascertain that the drug which they have discovered will penetrate in the [...]

Alterations in financial positions due to tax are evaluated to have a true understanding of the weight. All in all, taxes imposed on trade activities can become a burden to the taxpayer.

The example of the proper handling of the first microeconomics trade-off is the Atlanta, GA based transportation company World Courier Ground that focuses on the same day delivery services within Atlanta and the major part [...]

This is due to the fact that there is a reduction in the volume of output from the private sector. The effect is a reduction in the volume of output from the private sectors.

Connecting the farms in the US to the concept of the perfectly competitive market, the definition and the characteristics of such a market should be outlined.

In a competitive market and in the absence of price controls, when the quantity demanded is more than the quantity supplied, there will be a rise in the prices, which will increase the supply position.

However, the change of price and demand to $8 and 60 dinners respectively causes no change to the total revenue which remains at the level of $480, and only the further price increase to $10 [...]

Nevertheless, Saudi Arabia faces the problems connected with the world economic crisis; according to the speech of Abdullah Zainal Alireza, who is considered to be the minister of state, the most important aspects faced in [...]

Most cities in the country adhere to a licensing system which limits the number of taxicabs permitted to operate within the confines of the city.

Obviously, this is the time when producers and suppliers take advantage of the situation and increase the price of the product for gaining that extra profit according to the rising demand of the product.

In microeconomics, the concepts of price or demand elasticity refer to the sensitivity of buyers to price changes. The article shows that it is difficult to predict price changes in the home market because of [...]

The supply and the demand model forecasts that the price works to ensure equality of the amount demanded by buyers and the amount supplied by the manufacturers leading to the achievement of a monetary price [...]

The main origin of this problem is the OPEC's frequent increase of the oil prices and reducing the amount of oil drilled creating a worldwide shortage of gasoline due to their imposed quotas.

Output markets refer to the markets that are used by the farmers or businessmen to market their products while the input market is used by the same group to access products that are to be [...]

Therefore, in order to actually aid America's poor, we must look at the predicament not as something that can be bought away with taxpayer money, but as a sign of a bigger cause.

It has the largest reserves of petroleum in the world, ranks as the largest exporter of petroleum, and plays a leading role in the Organization of Petroleum Exporting Countries.

From the theory of marginal price determination, it is well known that the output optimum level is the point where the marginal revenue of the firm is equal to the marginal cost.

According to basic economic law, if the supply is in excess of demand the price falls as a result in order to accommodate the excess supply but on the other hand if the demand happens [...]

Further, in the case of DVDs, there has been a decline in the price of the product too. The article clearly shows that, as there is an increase in the supply of DVDs, the prices [...]

The nature and composition of the costs of a company will determine whether the company succeeds financially or not. For a company like Morgan Stanley, it would be difficult to determine the marginal costs.

In fact, from the peacetime point of view of the strategic planner, the adversary is actually the easiest variable to manipulate.

Thus, it is obvious that supply and demand, with proper attention paid to the price elasticity, are the most significant aspects of microeconomics.

Marginal revenue in a firm that is perfectly competitive is taken to be the market price where there is the intersection between demand and supply curves.

The opportunity cost for farming is, therefore, lower than the opportunity cost for the warehouses/airports. So you have got no opportunity cost for this because this is the best option for your building and it [...]

The main aim of the government is to create perfect competition in the market. When the economies of scale are larger, the government may allow the firm to practice monopoly but choose to regulate the [...]

Relevant points: The articles suggest that the shortage in gasoline is due to the disruptions caused by the Hurricane in the oil drilling and refining areas of the Gulf of America.