Supply And Demand Simulation Essay

2 Microeconomics and the Law of Supply and Demand Introduction The Supply and Demand Simulation, addresses microeconomics and macroeconomics principles and concepts. The shift of the supply curve and the shift of the demand curve, the shifts causes, and how each shift affects the equilibrium price, quantity and decision-making are examples presented in the simulation. The information presented is related to real world products and professional industries. Microeconomics and Macroeconomics Principles or Concepts From the Supply and Demand Simulation The microeconomic and macroeconomic concepts in the supply and demand presented in the simulation are shifts in the changes in supply and demand and equilibrium price and quantity. Good Life Management adjusted the level of supply of two bedroom apartments based on demand in the Atlantis Community. The company was challenged such as population, income and price ceiling. Microeconomics is the focuses on how individuals and firms make decisions based on economic forces. Supply and Demand is a microeconomic principal in the simulation where the prices of two bedroom apartments are affected based on the demand of the apartments per unit at a given time considering market conditions. To maximize profit Good Life strategy was to determine the amount of apartments and use price levels insuring maximize profit. Macroeconomics is the study of the economy as a whole. It considers the problems of inflation, unemployment, business cycles, and growth. Macroeconomics

Microeconomics and the Laws of Supply and Demand Essay

703 WordsSep 2nd, 20143 Pages

Microeconomics and the Laws of Supply and Demand
ECO/365 Principles of Microeconomics
August 18, 2014
Sam Pirnazar

Microeconomics and the Laws of Supply and Demand
The objective of the laws and the supply and demand simulation is to apply the supply and demand concepts to provide a better understanding on how to use the curves in order to figure out the equilibrium in the market for leasing two bedroom apartments. The simulation will help determine the difference between the movement along and shift of the demand and supply curves. Furthermore, how equilibrium can be established after one or both curves shift will be provided.
Microeconomics and Macroeconomics Concepts…show more content…

The shift of demand curve happened when the quantity demand increased because of the cost for apartments decreased. The simulation showed that there was an increase in population in the city of Atlantis. The demand curve shifted to the right which means there was an increase. The concepts from the supply and demand introduced in the simulation are meant to help the taker understand how they can be applied to real world scenarios that may be encountered at a workplace or when using real-world products. The supply and demand is very much relatable to the workplace of the security industry I am a professional in. There is always a constant change in the products we use for life safety and peace of mind for consumers. The evolving of technology and the ability of gadgets we have at our fingertips is easily influenced by supply and demand. The desire or want of life safety and peace of mind could cause the price of these items to go up because the demand for them is much higher. The factor influencing the supply curve is everyone wants a security system for their home or fire alarm system for their business. Depending on the consumer demand for these products, the price could increase and cause the demand of these products to decrease then vice versa. The concepts of microeconomics and macroeconomics helped me understand the factors that affect shifts in supply and demand on equilibrium price and quantity by how they can affect the

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