Study of Economics in Nepal

Exercise - Elasticity and Its Measurement

Supply and Supply Function Supply Supply is the quantity of goods and services produced by a producer, which are ready for trade in the market at a fixed price and on time.  While demand in the market is affecting production and supply, supply also affects demand. As the demand for the product increases, so does the price increase, which has a positive effect on the producer's profit and motivates for more production and supply. Therefore, price increase means increase in supply. The change in price and the change in supply are directly proportional to each other. Which is explained by the law of supply. i.e Qsx = f(Px) = α+βPx

Demand Concept of Demand Demand is defined as the effective desire for a good or service backed by ability and willingness to pay. It is also defined as the quantity of a good or service which a consumer would buy in a market at a given price and time period.   Demand Function The demand for a particular commodity is influenced by so many factors-they together are known as determinants of demand in technical jargon. A demand function in mathematical term expresses functional relationship between the demand for a product and its various determining factors. For instance,  Qdx = f(Px, Py, Y, Adv, T&P, F, Cl, Pop, Gp, Exp., Dist. ......) Types of Demand Function 1. Short Run Demand Function: Qdx = f(Px) ...........OTRS 2. Long Run Demand Function: Qdx = f(Px, Py,  Y, Adv, T&P, F, Cl, Pop, Gp, Exp., Dist., ......) 3. Linear Demand Function: The slope of the demand curve remains constant throughout its length is known as LDF. In other words, if both independent and dependent vari

Concept of Demand and Demand Function

New Syllabus

Introduction to Data Collection Data collection is the component of research in all fields of study or process of gathering and measuring information on targeted quantitative and qualitative data or variables in an established system or instruments (existing, modified or newly developed). While methods vary by discipline, the emphasis on ensuring accurate and honest collection remains the same. Formal and accurate data collection process is essential to maintain the integrity of research (Quality assurance-action before data collection & Quality control-action during and after data collection) by reducing the likelihood of errors.

Introduction to Statistics Statistics  is the discipline (some consider branch of mathematics) that concerns the collection, organization, analysis, interpretation and presentation of data. Data: Set of information (any fact, figure, sign, symbol, number) describes a given entity Data Types: Qualitative data, Quantitative data Data Analysis Descriptive Statistics: Quantitatively describes or summarizes features of collected  information using table, graphs and calculated using central tendency, dispersion, index number.  Generalization of data is not possible, only provide worthy information regarding the nature of a specific group of individuals. Inferential Statistics: Learn about the  population  through appropriate sample of data   using probability, estimation, different statistical test. It facilitates the generalization of data.

  Goods & Services Goods:  Goods are usually tangible (touch or hold) that satisfy human wants, such as pens, salt, apples, and hats.  Services : Services are activities provided by other people, who include doctors, lawn care workers, dentists, house cleaning, teaching, barbers, waiters, or online servers, a book, a digital video-game or a digital movie.

PRODUCTION POSSIBILITY CURVE OR FRONTIER (PPC OR PPF) Production: Technological transformation of input (factor: Ld, Lb, K, Org. & non-factor: water, electricity, raw materials) into output (finished goods and services: cloth, food, electricity). An economic model and visual representation of the ideal production balance between two commodities given finite resources. A  PPF or  PPC is a curve which shows various possible/attainable combinations of   output (the amounts of two goods) which can be produced at the maximum level within the given (fixed) resources and technology. Where the given resources are fully and efficiently utilized at the given period of time.