Acronyms

Question 1

Factors affecting DEMAND

Answer 1

Population
Advertising
Substitute price
Income
Fashions/trends
Interest rates
Complements prices

Question 2

Factors affecting PES

Answer 2

Production lag
Stock
Spare capacity
Time

Question 3

Factors affecting PED

Answer 3

Substitutes (No.)
Percentage of income
Luxury/necessity
Addictiveness
Time period

Question 4

Factors affecting SUPPLY

Answer 4

Productivity
Indirect tax
No. of firms
Technology
Subsidy
Weather
Costs of production

Question 5

Price Mechanisms

Answer 5

Allocates scarce resources
Rations excess D/S
Signals prices too low/high
Incentivises to change price

Question 6

Roles of Protectionism

Answer 6

Protects domestic jobs
Protects emerging industries
Raises G revenue
Encourages D for dom. prods
Prevents dumping

Question 7

Non wage shifters for DEMAND for LABOUR (6Ps)

Answer 7

Productivity
Price of complements
Price of substitutes
Profitability of employer
Product Demand (derived)
Price of product

Question 8

Factors affecting elasticity of Demand for Labour

Answer 8

Substitutability of cap. for labour
Elasticity of D for product(derive)
Cost of labour as % TC
Time period

Question 9

Causes of Globalisation

Answer 9

Trade liberalisation
Trading blocs
Technology
Growth of MNCs
Mobility of capital and Labour