AB 204 Week 2 Discussion

AB 204 Week 2 Discussion | Assignment Help | Kaplan University 

Unit 3 Discussion Topic 1

Supply, Demand, and Government Interventions in Markets

The Discussion topics include the market forces of supply and demand, supply and demand model, supply and demand curves, government failure, market failure, and the impacts of the government policy of price controls on the interactions of supply and demand, prices, and quantities in the market economy.

Read Chapters 4 and 6, and remember to include references and links to the websites that you feel are important contributors to your posts (comments).

Supply and demand is the foundation of the market economy and the basis of the study of economics.

a.    Why supply and demand are considered as factors that make market economies work? Why supply and demand drives the market economy? Provide an example of the role of supply and demand in business decision making.

b.    What is the difference between a movement along and a shift of the demand and supply curves? What are the factors that lead to shifts in supply and demand curves?