How are prices determined in a free market economy

The demand for grapesgrapes is highest during summer and lowest during winter. Yet grapegrape prices are normally lower in summe

anastassius [24]

Answer:

The correct answer is: D. The supply increases more than the demand increases.

Explanation:

The law of supply and demand is the basic principle on which a market economy is based. This principle reflects the relationship between the demand for a product and the quantity offered of that product taking into account the price at which Sell the product.

Thus, depending on the price in the market of a good, the bidders are willing to manufacture a certain number of that good. Like the plaintiffs they are willing to buy a certain number of that good, depending on the price. The point where there is a balance because the plaintiffs are willing to buy the same units that the bidders want to manufacture, for the same price, is called the market equilibrium or breakeven point.

According to this theory, the law of demand states that, keeping everything else constant, the quantity demanded of a good decreases when the price of that good increases. On the other hand, the law of supply indicates that, keeping everything else constant, the quantity offered of a good increases when its price does.

6 0

3 years ago

Gilberto plants a variety of trees, shrubs, and flowers in his yard. The landscaping beautifies the neighborhood. Which of the f

Alisiya [41]

<h3><u>Answer:</u></h3>

Gilberto plants a variety of trees, shrubs, and flowers in his yard. The landscaping beautifies the neighborhood. Due to this, a positive external will be generated.

<h3><u>Explanation:</u></h3>

So basically Gilberto's planting is creating positive externality because negative externality is when the third party gets negatively affected by production or consumption. Production or Consumption of something, whether third party is directly or indirectly involved.

An example to explain this is smoking cigarettes, a person when smokes not only causes harm to his body but also other people who might not be related to him by passive smoking and also by causing air pollution. But when it comes to planting it is not possible for it to not generate any externality. In fact, it generates positive externality by contributing to the environment.

4 0

2 years ago

Suppose a country has a national debt of $5,000 billion, a gdp of $20,000 billion, and a budget surplus of $130 billion. how muc

Mrac [35]

<span>a contractionary fiscal policy that will shift the aggregate demand curve to the left by an amount equal to the initial change in investment times the spending multiplier.</span>

6 0

3 years ago

Uncle John's Pipe Company has been experiencing several years of financial difficulty and, thus, has considered maintaining its

Iteru [2.4K]

Answer:

The value of its common stock is $29.41

Explanation:

As the Dividend payment is for indefinite period of time, This is the perpetuity payment. The value of share can be determined by calculating the present value of perpetuity payment.

The formula for the present value of perpetuity is as follow

Present value of perpetuity = Cash flow / Required Rate of return

In this case the present value of perpetuity is the value of stock cash flows is The dividend payment.

Value of Stock = Dividend / Required Rate of return

Value of Stock = $2.5 / 8.5%

Value of Stock = $29.41

6 0

3 years ago

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According to mesmer-magnus and viswesvaran, organizational employees have three options to address an unsatisfactory situation f

zavuch27 [327]

According to Mesmer-Magnus and Viswesvaran, organizational employees have three options to address an unsatisfactory situation faced within an organization. These include: exiting the organization, remaining silent, voice discontent.

<h3>What are organizational employees?</h3>

They are the ones who effectively contribute to an organization's smooth operation. They work really hard to deliver what they promise and complete the specified tasks by the deadline. The culture of the workplace is significantly influenced by the personnel.

Through negotiation techniques, organizational members develop their identities as runners. Members take up the role of models for new members in a continuing identity. Running as a societal norm might be supported by an organization.

The foundation of a solid, long-lasting corporation is its workforce. No matter what level, employees are in charge of the company. This means that their fortitude, fidelity, and devotion, as well as their emotional ties to the company, cannot be valued as assets.

Mesmer-Magnus and Viswesvaran assert that there are three ways for organizational personnel to deal with problematic circumstances they encounter. These include leaving the company, keeping quiet, and voicing your dissatisfaction.

To learn more about organizational employees refer to:

brainly.com/question/1190099

#SPJ4

7 0

1 year ago

How are prices determined in a free market economy​

How are prices determined in a free market economy