Discuss the following statement: Since supply and demand curves are always shifting, markets never actually reach an

Question:

Discuss the following statement: "Since supply and demand curves are always shifting, markets never actually reach an equilibrium. Therefore, the concept of equilibrium is useless."

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Microeconomics

ISBN: 978-0073375854

2nd edition

Authors: Douglas Bernheim, Michael Whinston

See More Books

Question Posted: Mar 17, 2016 04:44 AM

See More Questions

Discuss the following statement: Since standard costs are recorded in the inventory accounts in a standard cost system, actual costs are ignored.
Because demand curves and supply curves are always shifting, markets can never attain an equilibrium. Does this imply that the concept of equilibrium is not useful?
Suppose that an excise tax of 50 apiece is imposed on oranges. If the original supply and demand curves are as in Exercise, Suppose the demand curve for oranges is given by the equation Q = 200 P +...
The name of each data Table in an Oracle Server database must be prefixed by the keyword or (True/False)
What indexes should you create and why? Write the SQL command to create the indexes.
Some time ago, you entered a forward contract to purchase 10 shares of Advanced Micro Devices, Inc. (AMD) for $32 per share. Your forward contract ends in 6 months and the current spot price of AMD...
The rod has a slight taper and length L. It is suspended from the ceiling and supports a load P at its end. Show that the displacement of its end due to this load is Neglect the weight of the...
Investment Turnover Krall Company recently had a computer malfunction and lost a portion of its accounting records. The company has reconstructed some of its financial performance measurements...
The measured values for the experiment with the Francis Turbine are as in the table. Calculate the hydraulic efficiency of the pump according to the given values. Francis N T Q H P g m Trbini (pompa)...
Larry Edison is the director of the Computer Center for Buckly College. He now needs to schedule the staffing of the center. It is open from 8 A.M. until midnight. Larry has monitored the usage of...
What is the difference between positive and normative analysis? Which of the following questions would entail positive analysis, and which normative analysis? a) What effect will Internet auction...
The demand for sunglasses is given by equation Qd = 1000 - 4P, where P denotes the market price. The supply of sunglasses is given by equation Qs = 100 + 6P. Fill in the following table and find the...
Go to Wal-Mart Stores, Inc.'s Web site at www.walmartstores.com. Click on Investors, then select Financial Information; next choose Annual Reports& Proxies; finally, click on the most recent date....
Most people think about their personal liabilities in historical cost measures. What are the forms of personal or household liabilities commonly found?
Suggest an argument to support having businesses report quarterly (every three months) rather than once in each year.
What is your opinion on the relative usefulness of the cash flow statement, compared to the statement of financial position and the income statement?
Explain how the calculation of profit and operating cash flow provide different but complementary information, using Table 3.8 as your source of information. Table 3.8 Comparison of profit and...
In Problem 17.7 assume that the ties at all depths are the length determined in Part b. For the in situ soil, ' 2 = 25, 2 = 15.5 kN/m 3 , c' 2 = 30 kN/m 2 . Calculate the factor of safety against...
Define the following in your own words: a. Multiagent system b. Multibody planning c. Coordination problem d. Agent design e. Mechanism design f. Cooperative game
The first national bank pays a 4% interest rate compound continuously. The effective annual rate paid by the bank is __________. a. 4.16% b. 4.20% c. 4.08% d. 4.12%
Two point charges, -2.4C and 5.616 C, are placed at x = 0 cm and x = 9.7 cm, respectively. Consider the x- axis directed to the right. 1.0p 8a At what point along the x axis is the electric field...
As you know, the value of. It is defined as the ratio of the circumference of a circle C divided by its diameter 2r. That is x-C/2. a) Let's assume that you measured a circumference of a circle to be...
Figure 3 presents a network where N users are sharing a link of 1 Mbps bandwidth. Users are generating data at a rate of 100 kbps when busy, but are busy generating data only with probability p=0.1....

Discuss the following statement: Since supply and demand curves are always shifting, markets never actually reach an

Question:

Step by Step Answer:

While the claim that markets never reach an equilibrium is probably debatable ...View the full answer

Microeconomics

Students also viewed these Economics questions