Supply and Demand Simulation_365 Essay Example | Topics and Well Written Essays - 750 words

tag on and Demand Simulation_365 - Essay ExampleThe level of competition is also a macroeconomic factor because the incorruptible is a monopoly, rather it has no competitors. The reasons the two are concepts under consideration in macroeconomics is because the firm does not have control over them as seen in the study work of Adil (2006).The gear in the turn in curve is as a result of lowering rental judge. This will imply that the number of spot will be on get hold of and making the supply to increasing leading to a dismission of the supply curve to the right. The raise up is also due to subjoin advertising whereby the property is in demand from many clients because, through advertisements, many people will learn of the two-bed roomed apartments increasing the occupant and increasing the supply.This implies that the measuring rod demanded increases. This shift will arise from the renting of property at a low rental rates. The shift will also arise from increased demand of apartment as a result of increased advertisement schedules.The shift in supply will affect the equilibrium price because, at many point, there is no further adjustment in the rental rates this also applies to the shift in demand. The shift in supply would affect the quantity, where according to Adil (2006) the shift to the right will register an increase in quantity supplied. The shift in the demand curve to the right will also indicate an increase in quantity demanded. The management will also make their decisions based on the shift in the supply curve, whereby the shift to the right will make the management set the rental rates at the equilibrium price. This also applies to the shift of the demand curve to the right, whereby the management has to reduce the advertisement as the demand will be high enough.Application of the concept of demand and supply would be to examine the amount of advertising to do, such that in case the demand goes up due to increased