elastic supply

Congress created Federal Reserve notes to provide the nation with an elastic supply of currency.

The report also noted that increased prices with an elastic supply would cause increases in petroleum inventories.

To check you have grasped the idea of incidence, try drawing for yourself a market with a relatively elastic supply curve and a relatively inelastic demand curve.

The Ricardian socialists argued that the equilibrium exchange value of commodities in elastic supply tend to coincide with producer prices, which represent the labour embodied in the commodities.

More important, however, must have been the advantages of Amsterdam, that already gave it a strong position in the Baltic trades: elastic supplies of shipping and labor, low transaction costs, and efficient markets.

Cowen states that "countervailing forces operate, such as a convergence of quality that limits the ability of the very best stars to dominate the market for long, or more radically the elastic supply of fame."

Though the immediate result of this elastic supply was downward pressure on wages, it also presented an opportunity for explosive growth when aggregate consumer demand in Europe finally rebounded from the long depression, caused by the population losses of the pandemic.

Assuming a perfectly elastic supply of this good from Germany, the ruling market price in the absence of the NTB would be P1 and the total demand in the UK would be Q3.

They reasoned that the equilibrium value of commodities approximated to prices charged by the producer when those commodities were in elastic supply, and that these producer prices corresponded to the embodied labour - the cost of the labour (essentially the wages paid) that was required to produce the commodities.

Investment in these expeditions was a very high-risk venture, not only because of the usual dangers of piracy, disease and shipwreck, but also because the interplay of inelastic demand and relatively elastic supply of spices could make prices tumble at just the wrong moment, thereby ruining prospects of profitability.

The Ricardian socialists, such as Thomas Hodgskin and Charles Hall, were based on the work of David Ricardo and reasoned that the equilibrium value of commodities approximated producer prices when those commodities were in elastic supply, and that these producer prices corresponded to the embodied labor.