The diagram shows the demand curve for a good.
What can be concluded about a single downward-sloping demand curve?
consumers increase demand when their incomes rise
consumers plan to buy less when prices rise
firms produce less as prices rise
firms sell more when prices rise
Davos is a ski resort in Switzerland famous for hosting a world economic conference for leaders from both private and public sectors. Topics discussed usually relate to global economic development. Hospitality firms in Davos depend on seasonal migrant labour, especially when they want to increase the supply of goods and services quickly.
Define supply.
What is not a function of prices in a market economy?
prices allow income to be distributed equally
prices ration scarce resources among economic agents
prices rise and fall to reflect shortages and surpluses
prices send information to consumers and producers
In the first half of 2022, Guyana's GDP grew by 36.4%. Most of this growth was due to higher output in the primary sector. The government used some of the tax revenue generated from this growth to fund long-run development projects such as infrastructure and education. However, in the short run, there was a rise in house prices.
Analyse why house prices may increase.