a good consumers are willing and able to buy at each possible price during a given time period‚ other things constant. 2. The process to satisfy human wants/ needs/desires. * Want: having a strong desire for something * Need: lack of means of subsistence * Desire: an aspiration to acquire something 3. Demand: effective desire 4. Demand is that desire which backed by willingness and ability to buy a particular commodity. 5. Amount of the commodity which consumers are willing
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micro-economics Macro-economics is a younger branch of economics. Until the economic depression of 1930s economics was limited to what is currently Micro-economics. 1.1 Economic Models; Economic theory aims at the construction of models which describe the economic behavior of individual economic units;- consumers‚ firms‚ government agencies and their interactions hence creating the economic systems of a region‚ country or the world at large. An economic model is a simplified representation of the
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Chapter 3 Consumer Learning Starts Here: Perception Learning Outcomes After studying this chapter‚ the student should be able to: L01 Define learning and perception and how the two are connected. L02 List and define phases of the consumer perception process. L03 Apply the concept of the JND. L04 Contrast the concepts of implicit and explicit memory. L05 Know ways to help get a consumer’s attention. L06 Understand key differences between intentional and unintentional learning. Lecture
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evident fact (this time‚ a model of the way a consumer picks between two goods and what happens when the income and substitution effect go in opposite directions). This is a theoretical depiction; it captures the fundamental elements of consumer selection‚ predicting the way people will react to a change in price. THE INCOME AND SUBSTITUTION EFFECT According to The Law of Demand‚ when there is a change in the price of a good‚ the amount of the good consumers are able and willing to pay for changes
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PROJECT REPORT ON MANAGERIAL ECONOMICS ANALYSIS OF TELECOM SECTOR IN INDIA INTRODUCTION India is the fourth largest telecom market in Asia after China‚ Japan and South Korea. The Indian telecom network is the eighth largest in the world and the second largest among emerging economies. At current levels‚ telecom intensiveness of Indian economy measured as the ratio of telecom revenues to GDP is 2.1 percent as compared with over 2.8 percent in developed economies. Indian telecom sector has
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MICROECONOMICS 1 CONSUMER AND PRODUCER THEORY Lecturers: Marcel Kohler & Devi Tewari Rooms: Westville‚ J-Block‚ Room 367 & 362 Objectives: This course aims to develop students’ understanding and ability to explain real-world economic phenomena with the help of microeconomic principles. In this first module‚ we try to establish what drives the behaviour of consumers and producers in an economy by focussing on explanations of how they attempt to maximise their well-being‚ subject to certain constraints
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LAW OF DIMINISHING MARGINAL UTILITY: The law of diminishing marginal utility describes a familiar and fundamental tendency of humanbehavior. The law of diminishing marginal utility states that: “As a consumer consumes more and more units of a specific commodity‚ the utility from the successiveunits goes on diminishing”. Mr. H. Gossen‚ a German economist‚ was first to explain this law in 1854. Alfred Marshal later onrestated this law in the following words: “The additional benefit which a person
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efficient methods of production. For whom production should take place‚ production is allocated to those who can afford to pay. Consumers with no money cannot afford to by anything. There are mainly four factors of production . Land ‚ Labour ‚ Capital and Enterprise . Demand is the quantity that consumers are willing to buy at a given price. For example‚ a consumer may be willing to purchase 30 bags of potato chips in the next year if the price is $1 per bag‚ and may be willing to purchase
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Elasticity is a measure of responsiveness. It shows us how much something changes when there is another change in one of the other variables that determines it. There are three elasticities of demand that we consider‚ price elasticity of demand (PED)‚ income elasticity of demand (YED) and cross elasticity of demand (XED). An important aspect of a product’s demand curve is how much the quantity demanded changes when price is changed. The economic measure of this response in the price elasticity
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Daag Achhe Hai Campaign-Storyline The storyline is this: Two cutekids; a brother and sister going to school. Sister reciting numbers‚ as to how bigger number 2 isover number 1 and suddenly she falls in a puddle. She starts crying and points her fingers to thepuddle. The annoyed brother goes and literally hits the puddle asking it not to repeat to hissister (the result is so many stains on his and his sisters clothes). He then says (after obviouslytired beating the water) to his sister that the
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