Group items tagged

In India, bananas, apples, and grapes have been growing price. As the law of demand states, this would lower its demand. Oranges are growing in demand due to its low price. The changes in demand of fruits in India describe the relationship between demand and price.

Hey, I like your article because it really links to the Demand topic we did last week. The article is clearly describing the increase in demand of oranges because its substitutes' (apple, grape, banana, etc) experienced the increase in price due to the damage of plantations, and thus their demand had decreased as well. The price of oranges in this part of India stayed the same (Rs40 per kg ), and the price of its substitutes increased from Rs40 per kg to Rs50-60, per kg. The orange demand curve will be shifted to the right because one of the 'ceteris paribus' determinant has changed, and the apple, banana, or grape curve will experience the movement along the curve (the slope) as the price will go up and quantity will decrease. Andjela :)

Hey, I also enjoyed the article even though I wanted to share this article and got a little upset when I saw you have already come across with it. Anyways, I think this is really a good and pure example of the law of demand as you state since the damage on the substitutes of orange increased their price. But I also think that enterpreneurs should aim to supply the substitutes because I think that organic food industry is a fragile market and they should somehow balance the prices. But until then, I guess I'll be okay with oranges :) Alp

This article talks about Kirk Liefer, a soybeam, wheat and corn farmer who trades his products nationally and internationally. He is in the Illinois Agricultural Leadership Program and will travel to Japan in 2016. He has previously traveled to Brazil with the Illinois Farm Bureau's Young Leader Program to learn about global markets. In general the article suggests how International trade enhances culture and how education and travelling is important to understand and work with different nations and consumers.

In his article, Roberto De Vogli, discusses how obesity is a kind of market failure. Aapart from the comon view that obesity is "an effect of specific individual and lifestyle choices," Roberto De Voglie argues that "the problem is largely a byproduct of deeper political and economic changes in society.". Apart from discussing the reasons for this failure, he propeses a solutions. He says an ulta-processed food tax" must be introduced on fast foods and the revenue coming from this tax must be used as a subsidy fruits, vegetables and healhty foods.

This is an article about apple's newest product 'Apple Watch'. The author simply brings a a topic that bothers me too on to the table and critizices Apple on that which is that this product being compatible with only other Apple Products. More than that it is compatible with the "newest" Iphones and very expensive. Mr Roy simply says that this is a missed opportuinity for Apple because if they had lowered the price and made their product for non-apple users too they could have doubled their addrasable market. So, I believe this is an article about opportunity cost because Apple has lost its opportunity open up to millions of extra buyers in order to gain more money. Their opportunity cost was their addressable market. (Sorry everbody, I added this 2weeks ago, but apparently I forgot to share it, so here we go :)) Sinem Sınmaz

Hey, I like that you've linked this article with the opportunity cost however I also think that this article links to the Law of Demand as well since the demand curve of the Apple products experiences change in 'ceteris paribus' determinants.The launching of a new Apple watch has broadened the targeting costumers of the Apple products, since now they also have support from the buyers who would rather buy an expensive smart watch, than a tablet or laptop. This is similar to launching the IPod in 2001, when Steve Jobs attracted more buyers who were music lovers, and thus increased the demand in the product without decreasing the price of the same. This change has an effect on the demand curve, because it shifts the curve to the right since the demand of the Apple products increases. Andjela :)

Despite being partially right about claiming if they have lowered the price they could earn more, I also think that by increasing their prices and only providing compatibility between their own devices make it compulsory for people to buy not 1 device from Apple but more since they are only compatible with each other.

This article talks about the falling price of gasoline despite the fact that Middle East is in a chaotic sutiation. The author shows that the prices have fallen to their lowest level in Semtember in four years.The reason for that is because the demand has fallen dramatically after the end of summer driving season and the usage of smarter and environmental-friendly cars has increased over time. With the decrease in demand and increase in supply the prices are expected to fall until December.

This article discusses the relationship between gas prices and the crisis related to the Islamic State. Islamic State's major source of fund is from oilfields in middle east, and thus has great influence over the worldwide oil price.

This article explains how the sizes of different packaged food categories change in relation to a variation in disposable income and answers questions like: "Do all categories benefit equally from a rise in income, or do some categories decline when incomes rise as consumers trade up to more premium products?" The article suggests how snack bars and baby food the most elastic and bread and pasta the least elastic and more facts.

This is an article about a firms's trial to solve the gap of supply for the gloves in India. Kerala is the name of the firm which specializes in centrifuge latex production and by that they get the chance to create the largest market around to produce the gloves for surgery and examination. However, despite making a really though progress, they can only achieve to be the 25% of the required amount of supplies. I think this brings up the idea of the Law of Demand and also the "Giffen Goods" term since there is a huge need for this industrial product and there is no other maintaining enterprise, the prices increase in the same proportion with the demand. This is an extraordinary situation of course and it needs to be handled as fast as it can be. Alp Pişkin

This article talks about a new Kerela firm that i set up for glove manufacturing. Since there is a huge gap between production and demand in India (about 75%) this firm decides to set up the greatest glove manufacturing unit.

A study from the Brookings Institution, a think-tank, finds that poverty in America has become more concentrated over the past decade. During the 2000s the number of neighborhoods with poverty rates of 40% or more climbed by three-quarters. Poverty is rising in the suburbs however, and it might be because of inaccessability to good jobs - not the other way around. People cannot find jobs and although USA is 5% unemployed, inner cities and specifically black communities have a 40% unemployment rate. People are trying to get work too, there just isn't a supply of enough jobs - personally I think this is due to outsourcing, if everything just stayed in the USA then we would have thousands of more jobs available. The problem at hand is a falling in availability of jobs, along with an increased population and people searching for jobs. Due to companies trying to make more money, we have outsourced most of our available jobs in elastic goods to other countries. In this way we have ruined the economy for ourselves, or at least big companies have. Inelastic products do not have this same issue, yet they still outsource because they are greedy. Pretty crazy to think about. Perhaps if everything cost a bit more money, and we weren't allowed to outsource, then the PED would go down and people would pay more for goods because they would have more money to spend due to increase in number of workers.

This article demonstrates elasticity of demand for oil. It also has a nice explanation of elasticity

Tutar, I very much agreed with you here. Gasoline is a great example of Inelastic demand in a real life situation. The price for Gasoline is very rigid, gosline is a necessity to many peoples lives.In this case an increase in price will mean an increase in revenue. There is a positive relationship between price and total revenue. From the supplier's viewpoint, this is a highly desirable situation because price and total revenue are directly related; an increase in price increases total revenue despite a fall in the quantity demanded. This inelastic demand for the suppliers is a highly desirable situation. An increase in price will increase total revenue despite a fall in the quantity demanded. So theoretically Oil companies could charge astronomical prices and get away with it !!

This article concerns the elasticity of oil supply falling due to the time it takes to acquire it and the difficulty to get it. More oil wells are needed and therefore makes the supply extremely slow because of the time it takes to drill. Because of this, the oil supply takes a long time to react to price change in the economy, making it less and less elastic.

This article discusses the previously strong position of cigarattes in economy and their place today. Cigarattes are considerd to be inelastic since they are highly addictive. However over the lst couple of years their elasticity have göne form -0.3 to -0.8. The article discusses how E-cigarattes have become increasingly popular over the years. The author states "E-cigarettes, however, could undermine the cross elasticities that Big Tobacco firms enjoy between traditional cigarettes and smokeless tobacco" and discuss cross elaticities as well as price elasticities of tobacco in this article.

The USDA is investing in farms to increase production of organic and local goods. This article relates to demand and scarcity seeing as organic and local goods are something that a lot of people want but not many can regularly get because of low production and high prices.

Government imposed carbon taxes in Australia, in order to prevent the climate change. This will have the major influence on manufacturing and other business in Australia, especially the tourism. It is estimated the carbon taxes will "add $115 million a year to the bottom line costs of hotels and motels", due to the increase in additional costs such as energy bills, food, transport, linen and other expenses. The demand for the tourism in Australia will thus greatly decrease, as the expeneses will increase as well due to the large taxes imposed on the carbon "also Australia's carbon tax places tremendous pressure on Australian manufacturers and inevitably leads to job losses and business closures"

The oceans are a crucial for human life, and their everyday functioning. The oceans produce $3 trillion of goods and services each year and are untold value for the Earth's ecology. Despite this fact, humans continue to damage this valuable source of life, and the nature is damaging us back by the melting of the Arctic ice in summer, the spread of oxygen-starved dead zones and the death of coral reefs. An example where the nature is harming us back can be seen in Thailand where the coastal mangrove swamps were cleared to set up shrimp farms. However, the ocean storm surges in 2011, rushed in to flood the country's industrial heartland, causing billions of dollars of damage causing the market failure.

This article is from Forbes, and as you know Forbes provide articles from news and analyse them. This is what we definitely need to go through sometimes. Besides, the article talks about corporate profits and aggregate demand.

Here I found an article that highlights the potential economic threat of Emirates in the American Market. This article basically suggests that the demand for the flights in the US is really high, therefore, Emirates wants to initialize new flights to the US, however, Delta and American Airlines are strictly against the presence of Emirates in the American market. Thus, this article shows how markets can be competitive and substitutes could affect the whole market and prices. It's undoubtedly true that the other commercial airlines should lower their tickets' prices in order to gain more quantity of demand. That's why, the market would be more competitive if Emirates expands in the USA.

Mr Tsipras's defiant parliamentary debut as prime minister - underlining a string of spending commitments such as raising the minimum wage in breach of Greece's two €240bn (£178bn) bailouts -will have had Germany's Chancellor Angela Merkel tearing her hair out in Berlin. The politics in Greece for the last five years was inconsistent and very harsh towards people who were oftentimes protesting and boycotting. The result of this politics has a strong impact on the country's economy, which is very fragile and is still deteriorating by harsh policies, taxation which affect not only Greece but the international market as well.

This article talks about the outdated thinking of China and Germany and suggests that a new way of thinking and a new plan will help boost economic growth in the two countries.

This article is about the discovery of natural gas and oil in Africa. It focuses on the changing of landscape and unlocking Africa's potential gas and oil opportunities.

A news report focusing on the economic, meaning the resource consequences of the conflict between Ukraine and Russia, and also highlighting Europe`s dependance on Russia`s oil and how European nations would suffer if there were to be a conflict between Russia and the rest of Europe.

This article concerns the climate change and what it could cause for the country, which includes water and food shortages. These are affected by the climate damaging the crop production. This is relevant with this week's topic because the supply of agricultural food is decreasing, therefore causing the prices to rise. This rise in price therefore helps the allocation of the food, which is a serious impact on the country.