Traditional Culture Encyclopedia - Traditional culture - Traditional automobile demand curve
Traditional automobile demand curve
Because oil and cars are complementary, people's consumption demand for cars is reduced. Under the condition of constant supply, the demand curve moves to the left, which leads to the decline of automobile prices.
introduce
The relationship between supply and demand is the relationship between all products and services provided by society and social demand in a certain period of time. This relationship includes qualitative adaptation and quantitative balance. The process of social reproduction, that is, how to compensate each component of the total social product in value and how to replace it in kind.
If merchants hoard, then the relationship between supply and demand cannot be shown. Therefore, the premise of effective supply and demand function is a sound market economy and social legal system. When products are produced and put on the market, there is no hoarding.
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