This chapter covers the fundamental basics
of Demand and Supply analysis.

The concept of a market in Economics:

Determination of market price in a
perfectly competitive market structure

Demand and supply schedules/curves
(individual and aggregate),

abnormal cases,

factors influencing demand and
supply of a consumer commodity,

changes in demand, and supply relationships.

Elasticities of demand and supply and
their influence in equilibrium

 

 

Conditions in different market structures.

The price mechanism and its
shortcomings in allocation of resources.

Fluctuation of prices especially
in agricultural products.

Price control/stabilization schemes by
government to remove the weakness of the price mechanism.

The negative consequences of such schemes.

The application of price theory to the
pricing of factors of production