Understanding Unemployment: Types, Effects, and Theories

Posted by on Dec 9, 2024 in Economy | 0 comments

Types of Unemployment

  • Cyclical Unemployment: Occurs when workers and production factors are idle because the economy’s spending during certain periods is insufficient to employ all resources.
  • Seasonal Unemployment: Caused by seasonal changes in labor demand at different times of the year. For example, at the end of summer, many people contracted to work in restaurants and hotels are forced temporarily to seek another job or become unemployed.
  • Frictional Unemployment: Associated with the normal functioning
Read More

Understanding Supply and Demand in Economics

Posted by on Dec 9, 2024 in Economy | 0 comments

Demand

The demand for a commodity is made up of the amount of that good the consumer will want to buy on the market. The demand function tells us, for each possible price of the goods, the amount of this consumer demand.

Shifts in the Demand Curve When Income Changes

  • Normal Goods: With variations in income, the quantity demanded changes in the same direction. It stands to reason that the more income a consumer has, the greater the amount of that good they will want to purchase. Olive oil could be considered
Read More

Consumer and Producer Surplus in Different Market Structures

Posted by on Dec 9, 2024 in Economy | 0 comments

Consumer Surplus

Willingness to pay is the maximum price a buyer would pay for a good or service.
At an auction, the buyer who eventually acquires the property is the one with the highest willingness to pay.
The rest of the participants cease to compete because the last price offered exceeds what they are willing to pay for the commodity.
The purchase plan gives us an idea about the willingness to pay of consumers, in the example of ice cream.
If the price is greater than $100, consumers do not
Read More

Market Analysis and Segmentation Strategies for Businesses

Posted by on Dec 9, 2024 in Economy | 0 comments

Supply and Demand: Meeting Market Needs

Meeting market demand for goods and services

Market Research Domain

Market dominance and utilizing well-known market movements.

Geographical Domain

  • National – Peru
  • National Urban – Juliaca
  • National Rural – Taraco
  • Department – Puno/Sierra
  • District – Coast
  • Mountain City
  • Zone
  • District

Demographic Domain

Knowing the Interests of a Family

  • Number of family members
  • Area of the city where they live
  • Number of people working
  • Highest level of schooling of the household head

Knowing the

Read More

Strategic Business Decisions: Location, Size, and Growth

Posted by on Dec 9, 2024 in Economy | 0 comments

Strategic Business Decisions: Location and Size

  1. Location and Business Size

    To carry out its activities, the company needs to make two strategic decisions:

    1. Location: This depends on the type of business and affects costs and demand.

    2. Dimension: This involves choosing the size or production capacity of the company.

    Both decisions depend on the expected demand or the expected demand in the potential population to acquire the product.

  • Location Factors

    Circumstances are advised to install a certain

Read More

Macroeconomics: Consumption, Investment, and Economic Growth

Posted by on Dec 9, 2024 in Economy | 0 comments

Overall Functioning of the Economy

The macroeconomic objectives are to achieve economic growth, ensure full employment, and maintain price stability. GDP growth leads to improved living standards. However, during crises, companies face challenges selling goods and services, leading to reduced production and hiring. This, in turn, increases unemployment and decreases citizen income.

Influential Factors

Several factors influence a country’s economic progress:

  • Internal Market Forces: Changes in population,
Read More