Respond to the following questions:
Discuss how these variables can affect the demand for yourproduct or industry and what methods could be used to estimate theeffect of these variables.
Many factors affect the demand for a product, which is a concernfor management and the decision-making process. To correctly assessthe demand for their products, managers must determine the effectof all relevant variables. Select a particular industry or productand define the following variables:
Inferior versus normal goods
Substitution and income effects
Derived demand
Changes in real and projected incomes
Consider this statement: Long-run cost curves are planningcurves, while short-run cost curves are operating curves. Do youagree or disagree with this statement? Support your answer with anappropriate rationale. In your response, use the various costconcepts you have learned, as well as the concepts of economies anddiseconomies of scale, incremental costs, and sunk costs. Provideexamples and applications of these costs in your response.
Justify your choices with valid assumptions and logically drivenarguments. Cite any sources using APA format.
Respond to the following questions:
Discuss how these variables can affect the demand for yourproduct or industry and what methods could be used to estimate theeffect of these variables.
Many factors affect the demand for a product, which is a concernfor management and the decision-making process. To correctly assessthe demand for their products, managers must determine the effectof all relevant variables. Select a particular industry or productand define the following variables:
Inferior versus normal goods
Substitution and income effects
Derived demand
Changes in real and projected incomes
Consider this statement: Long-run cost curves are planningcurves, while short-run cost curves are operating curves. Do youagree or disagree with this statement? Support your answer with anappropriate rationale. In your response, use the various costconcepts you have learned, as well as the concepts of economies anddiseconomies of scale, incremental costs, and sunk costs. Provideexamples and applications of these costs in your response.
Justify your choices with valid assumptions and logically drivenarguments. Cite any sources using APA format.
