Economics Paper: Economic Principles

Topic 

Economics Paper: Economic Principles

Instructions 

The Microeconomic Paper tests your ability to apply economic principles to a business decision. Select one situation from the items outlined below: A to D. Complete the paper on the selected situation as specified below. The completed paper is a professional report and is due in Week 3 (130 points). See the grading rubric at the end of this document.  For sources of data, you can choose from the list presented at the end of this document.

Answer Preview 

Determinants of demand

Oil and gas products, unlike other household commodities, are unique within the market and do not have products that can be considered to be direct substitutes. The demand for the products keeps on increasing with the increasing population and the growing energy needs for the same populations. As a result of this, the factors of demand for the products are mainly concerned with the price of the commodity remain the biggest element that affects both the demand and supply of the products which will be sold (Rios, McConnell, & Brue, 2013). Since they do not have substitute products, the demand becomes highly influenced by the price of the products.

Word Count: 2600