Demand, Supply, and Markets

The ideas that explain how a market system functions, demand, supply and markets focus on consumer and business behavior. On the demand side, price is an incentive that encourages buyers to want more when low and less when high. On the supply side, with profit as an incentive, a higher price stimulates more production. Through examples, econlife looks at the countless individuals and groups composing the demand and supply sides of markets to see how price and quantity are determined.

  • Laos

    Laotian Investing

    Nov 14, 12 • 540 Views • No Comments

    Laos has a new stock market. Launched during January 2011, on its opening day, the Laotian Securities Exchange listed 2 state-owned businesses, a bank and a power company. News reports indicated that investor interest in their securities was considerable and......  [read more]

  • Decisions Have An Opportunity Cost That Require Tradeoffs

    Behavioral Economics: When Do We Minimize Risk?

    Nov 12, 12 • 523 Views • No Comments

    With Election Economics having concluded, for the next 4 weeks, Monday posts will focus on topics that relate to behavioral economics. Let’s start with Hurricane Sandy and my own NJ neighborhood. Really though, we will be looking at how many of us......  [read more]

  • Amazon Prime and Delayed Gratification

    Nov 9, 12 • 826 Views • No Comments

    Would you rather pay $79.00 or $95.88 for the same service? Amazon just figured out how to get the $95.88 from some people. People who sign up for Amazon Prime get “free” (but we know there is no such thing as “free”) 2 day shipping, access to kindle......  [read more]

  • Beer and pretzels.

    Beer Economics

    Nov 8, 12 • 1441 Views • No Comments

    In China, 1/2 liter of beer costs 9 minutes of work. To calculate how many minutes of work it takes to buy beer in 150 countries, Swiss bank UBS researchers divided the median wage in that country by the price of 1/2 liter from a retailer. Their results?......  [read more]

  • How much should cities plan for the storm of the century?

    Hurricane Sandy Stories

    Nov 6, 12 • 683 Views • No Comments

    Just some notes today about close-to-home Hurricane Sandy economics. Trees: Walking down my NJ street, I stopped to talk with 2 gentleman in a truck from Gainesville, Florida. They said they did tree work and had driven the 1000 miles to look for business.......  [read more]