Summary of knowledge points of management economics (2)

The first section needs analysis

1. Demand function

1. Demand
   Definition of demand: refers to the consumer's
   demand at each price level in a certain period of time (D) refers to a certain commodity (or service) that consumers are willing to purchase and can purchase at various possible levels within a certain period of time The quantity
   of a certain consumer is willing and able to purchase a certain commodity at any possible price of the commodity in a certain period of time, provided that other factors remain unchanged, which is called personal demand.
   The number of consumers in the market that are willing and able to purchase this product is the market demand
2. Factors affecting demand
   
   
   

3. Demand function The
   above-mentioned influencing factors will all have an impact on the demand of commodities. The demand function can be obtained by expressing the relationship between these influencing factors and the demand of commodities in the form of a function.
   Therefore, the demand function is the functional relationship established between the quantity of demand and the various factors that affect the quantity of demand. It can be expressed as that
   among many factors, it is generally believed that the price of a commodity has the greatest influence on the quantity of demand. Therefore, in actual analysis, economists often analyze the relationship between commodity prices and demand. The relationship between
   
   price and demand can be expressed in two ways: demand table and demand curve
   (1) demand table. In order to describe the relationship between changes in market demand for a certain commodity and changes in the price of the commodity, we can make a demand table. One column represents changes in commodity prices, and the other column represents changes in market demand. The market demand is recorded one by one. Under normal circumstances, at higher prices, there is less demand; at lower prices, there is more demand, and the relationship between demand and price is reversed
   (2) The demand curve. We can also use a two-dimensional plan to show the relationship between commodity price changes. If the demand is represented by the abscissa and the price of the commodity is represented by the ordinate, then the demand at different price levels obtained by statistics can be displayed in two dimensions. Mark out one by one on the plane, and then mark the demand at different price levels obtained by statistics on a two-dimensional plane one by one, and finally connect these marked points with a curve to obtain a demand curve.
   
   Understanding the demand curve , We must grasp the following points

• A demand cancellation indicates the relationship between the price of a commodity and the quantity demanded at the same point in time, or in other words, the relationship between the price of a commodity and the quantity demanded under the condition that other factors remain unchanged. After other influencing factors change, the demand curve will shift

4. When taxi rents increase, the demand for bus services (increased demand)
5. The following factors or conditions that are not directly affected are (cost)
6. If commodity A and commodity are complementary, then the price of A will fall (the demand curve of commodity B shifts to the right)
7. The phenomenon that causes the quantity of demand to change along the demand curve of the commodity occurs (when the price of the commodity drops)
8. The following circumstances will lead to a decline in the demand for a general commodity (the commodity price increases)
9. The following circumstances will lead to a decline in the supply of a general commodity (increased production costs)
10. The following situations will cause the market supply curve to shift to the left is (expected price drop)
11. After determining the supply curve of a cotton grower, one of the following factors that can be changed is (the price of cotton)
12. The main factors affecting supply do not include (consumers’ predictions of future prices)

Commodity prices will lead to a decrease in demand.
Production costs will lead to a decrease in
supply. Factors affecting supply mainly include: commodity prices, production costs, prices of substitutes, and producers' expectations on prices.

Two, short answer questions

13. Please explain the difference between
    the change in demand and the change in demand (1) The change in demand refers to the change in the demand caused by the change in the price of the commodity itself under other conditions.
    This kind of change in demand is expressed as a "point shift on the curve" on the demand curve.
    (2) A change in demand refers to a change in the entire demand relationship caused by a change in factors other than the price of the commodity itself.
    It is expressed as a change in the entire demand curve. Displacement is the "line movement of the demand curve"
14. Why does the demand curve for commodities shift to the lower right and slope?
    When prices rise, demand falls; when prices fall, demand increases. Since the quantity demanded and the price change in the opposite direction, the demand curve is a curve that slopes to the lower right.
15. What is the impact of rising food prices on the pork supply curve? Why?
    Rising food prices shifted the pork supply curve to the upper left.
    The reason is: corn occupies a large proportion of pig feed. If the price of corn rises and the cost of raising pigs rises, the price of pork will definitely rise.
    Under the same conditions, due to rising production costs, the company's willingness to supply output will decrease.

Three, calculation problems

1.