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Natural gas as a clean, low-carbon energy will play an important role in the world's low-carbon energy transformation. In this paper, research on the elasticity of natural gas demand is surveyed, and it is found that the price and income elasticities of natural gas demand in different sectors are distinctive. In particular, this paper constructs an autoregressive distribution lag model to study the elasticity of natural gas demand in various sectors of China. The results show that, except for the residents sector, the long-run price elasticity of natural gas demand in other sectors is greater than 0, which is contrary to the estimates of developed countries. The demand for natural gas is complementary to coal in industrial and power generation sectors, which is also different from developed countries. The elasticity of natural gas demand in residents sector is lack in price elasticity but abundant in income elasticity, which is similar to the developed countries. The results also shows that natural gas and oil are substitutes for each other in the transportation sector, and natural gas and coal are substitutes for each other in service sector.

This study aims to describe the mathematical reasoning abilities of vocational high school students in the business and management expertise in solving mathematical tasks in the law of demand context. This research uses the descriptive qualitative method. The participants consisted of six students categorized into three groups: high, medium, and low mathematical abilities. Participants from one of the vocational schools in Ciamis, Indonesia. Mathematical tasks to explore students' mathematical reasoning abilities in the law of demand context. The law of demand is a concept in business economics subjects. The task situation expanded as an alternative to solving more mathematical tasks—data from the results of student answers and interviews. Data analysis refers to the characteristics of mathematical reasoning, which consists of imitative and creative reasoning. The stages of data analysis are reduction, presentation, interpretation, inference, and verification. The results of data analysis show that all students tend to do imitative reasoning on each given task. Students tend to remember the law of demand formulas and perform mathematical procedures that they remember. Students often perform mathematical procedures that are not by the nature of mathematics so that the resulting solution is wrong. The law of demand questions designed to explore creative reasoning abilities has not been able to bring students to the flow of creative mathematical reasoning.

In this paper, I develop a simple model of heterogeneous exporters to a single destination. This model highlights how the response of producer markups to market-level changes in that destination are intrinsically tied to the induced reallocation of export sales to that destination. I discuss how additional assumptions on the shape of demand (originally advocated by Alfred Marshall as his second law of demand) generate specific predictions for the response of those markups and induced product reallocations to increases in market size and competition in a destination: markups fall and market shares are reallocated towards better performing products. Recent evidence on French multi-product exporters strongly confirms this prediction for market share reallocations. The predictions for the markup responses are also consistent with the findings of the large empirical literature on pricing to market and incomplete pass-through.

Given any observed demand behavior —by means of a demand function—, we quantify by how much it departs from rationality. The measure of the gap is the smallest Frobenius norm of the correcting matrix function that would yield a Slutsky matrix with its standard rationality properties (symmetry, singularity, and negative semidefiniteness). As a result, we are able to suggest a useful classification of departures from rationality, corresponding to three anomalies: inattentiveness to changes in purchasing power, money illusion, and violations of the compensated law of demand. Errors in comparative-statics predictions from assuming rationality are decomposed as the sum of a behavioral error (due to the agent) and a specification error (due to the modeller). Illustrations are provided using several bounded rationality models.

Using household-level panel data from Tucson, Arizona, and a unique set of highly disaggregated control variables, we estimate residential demand for water via a Stone-Geary specification. The Stone-Geary functional form allows price elasticity of demand to vary with quantity consumed, price, and income and enables estimation of a threshold level of consumption below which demand is considered perfectly price inelastic. An encompassing test of consumer price response reveals evidence favoring a lagged average price specification rather than one using lagged marginal price. The estimated model also finds substantial seasonal variation in price elasticity and declining consumer price responsiveness.

Scholars have long debated whether there was enough food in Ireland to feed the population during the Great Irish Famine; there has been less detailed examination of high-frequency data to understand how markets distributed food after the harvests failed. This article explores a hitherto unused weekly price and quantity data set from the Cork city markets to analyse how markets may have hindered the distribution of available food from 1846 to 1849. Although, historically, economists have long suspected that raw data on the market for potatoes during the Irish Famine behaved like that for a classical ‘Giffen’ good, there is little evidence for this among foodstuffs available throughout the crisis in Cork. But bacon pigs – a food that never reached a stable equilibrium but completely disappeared from the market in 1847 – exhibited some characteristics which do not appear to accord with the classical law of demand. Further analysis of this data suggests that middle-class purchasing power outbid the poorest people in Ireland at a time when there was a surplus of superior foods and a deficiency of inferior foods. These circumstances indicate that unusual market behaviour may have made the crop failure’s redistributive consequences – as well as its mortality toll – much worse.

We consider properties of the measurement intensity ρ of a random variable for which the probability density function represented by the corresponding Wigner function attains negative values on a part of the domain. We consider a simple economic interpretation of this problem. This model is used to present the applicability of the method to the analysis of the negative probability on markets where there are anomalies in the law of supply and demand (e.g. Giffen’s goods). It turns out that the new conditions to optimize the intensity ρ require a new strategy. We propose a strategy (so-called a rebours strategy) based on the fixed point method and explore its effectiveness.

This paper provides a thorough exploration of the microeconomic foundations for the multi-variate linear demand function for differentiated products, which is widely used in industrial organization. The setting is the standard representative consumer with a quasi-linear utility function. A key finding is that strict concavity of the quadratic utility function is critical for the demand system to be well defined. Otherwise, the true demand function may be quite complex: Multi-valued, non-linear and income-dependent. We uncover failures of duality relationships between substitute products and complementary products, as well as the incompatibility between high levels of complementarity and concavity. The two-good case emerges as a special case with strong but non-robust properties. A key implication is that all conclusions derived in applied economic models via the use of linear demand that does not satisfy the Law of Demand ought to be regarded with some suspicion. Postprint

Milleron and Malinvaud (1974), Mityushin and Polterovich (1978) and others, provide conditions under which the Uncompensated Law of Demand (ULD) holds. These conditions are based on properties of the consumer’s (unobservable) utility function. In this paper we introduce the new idea of a ‘Giffen commodity vector’ and show how, in terms of it and the derivative of a consumer’s inverse demand, a new necessary and sufficient condition for the ULD may be obtained. As both the Giffen vector and a consumer’s inverse demand are observable, this allows us to obtain a ‘Revealed Preference’ style necessary and sufficient condition for the ULD without relying on conditions based on unobservables such as differential or curvature properties of a consumer’s utility function.

Professor Joseph Salerno (2019) has commented on my recent reconstruction of the income effect from a causal-realist perspective (Israel, 2018b). In this rejoinder, I clarify my position and show that the main points of criticism in Salerno’s response are unfounded. In particular, I show that my argument does not involve a claim of greater “realism of assumptions” and it by no means contradicts the law of demand. Moreover, I work out in more detail the similarities and differences of my approach to the standard neoclassical decomposition of income and substitution effects. I show that my approach is closer to the Slutsky decomposition as opposed to the Hicks decomposition.

We offer a rationalization of the weak axiom of revealed preference (WARP) and of the weak generalized axiom of revealed preference (WGARP) for both finite and infinite data sets of consumer choice. We call it maximin rationalization, in which each pairwise choice is associated with a local utility function. We develop its associated revealed-preference theory. We show that preference recoverability and welfare analysis a la Varian (1982) may not be informative enough when the weak axiom holds but when consumers are not utility maximizers. In addition, we show that counterfactual analysis may fail with WGARP/WARP. We clarify the reasons for these failures and provide new informative bounds for the consumer’s true preferences, as well as a new way to perform counterfactual analysis. Finally, by adding the Gorman form and quasilinearity restrictions to the “local” utility functions, we obtain new characterizations of the choices of the Shafer (1974) nontransitive consumer and those choices satisfying the law of demand.

We offer a rationalization of the weak axiom of revealed preference (WARP) and of the weak generalized axiom of revealed preference (WGARP) for both finite and infinite data sets of consumer choice. We call it maximin rationalization, in which each pairwise choice is associated with a local utility function. We develop its associated revealed-preference theory. We show that preference recoverability and welfare analysis a la Varian (1982) may not be informative enough when the weak axiom holds but when consumers are not utility maximizers. In addition, we show that counterfactual analysis may fail with WGARP/WARP. We clarify the reasons for these failures and provide new informative bounds for the consumer’s true preferences, as well as a new way to perform counterfactual analysis. Finally, by adding the Gorman form and quasilinearity restrictions to the “local” utility functions, we obtain new characterizations of the choices of the Shafer (1974) nontransitive consumer and those choices satisfying the law of demand.

The aim of this article is to examine the possibility that a market demand function (curve) might not be monotonically decreasing in its entire domain according to the consumer theory neoclassical as assumed by the law of demand (for normal goods). This may happen due to limited rationality of (some) consumers and the anchor price effect. When a price of a good decreases to some point, the amount demanded might stops increasing due to the loss of confidence effect: consumers’ unwillingness to buy a too cheap product. The existence of this effect was examined via questionnaire on a sample of 377 undergraduate university students from the Czech Republic, Ecuador and Spain. The main result of this experimental study is that the loss of confidence effect appeared at all three locations, which indicates that the law of demand may not be valid in its entire domain. Furthermore, the results of this study imply that a significant percentage of people make decisions of limited rationality even when facing a very simple task. In addition, statistically significant difference in rational behavior with respect to gender was found., Economics, Demand function, Price elasticity of demand, Irrationality, Loss of confidence and experimental study

Organizations in the present era prioritize smart work rather than hard work. Not infrequently the group has the character of wanting everything to be achieved instantly or in a shorter time. Based on data from the Central Bureau of Statistics of the Republic of Indonesia, in 2016 the number of workers from the X generation group was almost the same as the number of millennial workers. The Babby Boomers generation group continued to decline in number. Slowly, the X generation of workers will also experience the same thing. This phenomenon has been marked by the arrival of the millennial generation as a workforce that increasingly makes the composition of the generation of Babby Boomers diminishing in 2014 and 2016). This explains that the transition of generations of workers is impossible to avoid or in other words the law of demand and supply applies to human resources in Indonesia. This study aims to analyze job preferences (job preferences) in groups of generation X workers based on work values. This research is quantitative research using multiple regression analysis and SPSS. The error rate in this study uses the magnitude of 5%. Using 102 samples of this study explains that Job Preference is partially influenced by factors of self-realization and welfare guarantees but Job Preference for gen-X workers is not influenced by factors of work environment harmony and material factors. Simultaneously, Job Preference for gen-X workers is influenced by the factors of material conditions, selfrealization, harmonization of the work environment and welfare factors.Keywords: job preference, work value, work environment

Due to increased reliance on tuition revenue, universities must be cognizant of the impacts tuition changes have on enrolment. In economics, the law of demand indicates that price increases (tuition) cause quantity demanded (enrolments) to decrease. The impacts of tuition increases on revenue depend on the magnitude of these two changes. The contribution of this article is the methodology used to control for competitor pricing in enrolment elasticity models. For resident enrolment, we included other in-state, 4-year public universities. For non-resident enrolment, we used weighting schemes based on enrolment patterns by school and by state to incorporate competitors’ tuition rates and relevant economic and demographic information. We applied these methodologies to universities in the south-eastern U.S. from 2003 to 2010. We found that tuition elasticities of both resident and non-resident enrolments at 4-year public universities varied from inelastic resident enrolments to elastic non-resident enr...

Purpose- Intrigued by the poor market performance of M-Sente product of Uganda Telecom Limited (UTL), this study examined the relationship between marketing strategies and the market performance of M-Sente, a mobile money product of Uganda Telecom Limited. Specifically, study: examined the relationship between pricing and market performance of M-Sente; examined the relationship between promotion and market performance of M-Sente; and, examined the relationship between place and market performance of M-Sente. Design/methodology- The study adopted a cross section study design and both quantitative and qualitative approaches. In total, a sample of 120 respondents was chosen and included members of the marketing team, Sales team, dealers (Central), sub dealers (Central) and M-Sente outlets (Central). Data was collected by means of questionnaires and interviews, and analysis of quantitative data was done using descriptive and inferential statistics. Findings – This paper revealed that UTL's prices were lower than the competition, though customers did not feel they were getting value for money. This explains why UTL's market share continues to decline despite their competitive prices. The study findings revealed that there is a positive relationship between marketing strategies and market performance of M-Sente mobile money product of UTL. Further, it was noted that pricing had a positive correlation with market performance (r=0.444**; p .001).The findings of this paper show that the price of M-Sente products was found to be low although the number of customers kept on declining. This is contrary to the law of demand that postulates that the lower the price the higher the demand. Results showed that M-Sente had a small number of retail outlets distributed all over Kampala. It was not featuring significantly in the rural areas, because most people in the rural areas have no bank accounts and largely rely on mobile money transactions. This means that even if a customer wanted to use M-Sente, they had to travel far in search of an M-Sente outlet. There is revelation that customers would rather use the competitors' mobile money services (more widely spread out in every town and more accessible). The promotional strategies through advertising had proved to be very costly to UTL, yet the results from them were so minimal, contributing to significant losses. Thus, UTL needs to explore other less costly means of sales promotion, such as handing out samples of its products, having promotional products branded with its logo, or other gifts at key locations. One of the major drawbacks for UTL's M-Sente services was the limited accessibility. Therefore, the company should carry out thorough planning on the location of the mobile money outlets. The results (findings) of this research can't be generalized. Implications- Pricing is one of the marketing strategies that UTL is using to improve its market performance, by charging rates lower than the rest of the telecom companies, though this has not resulted into better market performance. UTL has engaged in a number of promotions for example sales promotion, advertising promotion and on line promotions, in an effort to inform, persuade and influence people when making a decision to buy. However, the fewer outlets in the city centre seemed to be countering the efforts through promotion. This calls for better planning on the location of the mobile money outlets within and outside Kampala. In addition, the outlets need to be strategically located in places where it is easy to outwit competitors given the marketing strategies employed.

Significance A central tenet of economics is that as the price of a commodity increases, its demand goes down because individuals choose to buy less. Mounting evidence supports a role for the neuromodulator dopamine in representing subjective value. We investigated the role of dopamine in valuation by presenting rats with a reward across a range of prices. We showed that dopamine concentration decreased with price and increasing release using optogenetic manipulations-altered price sensitivity. Increasing release prior to reward delivery made animals more sensitive to price, whereas increasing release at reward delivery made animals less sensitive to price. These data extend the notion that dopamine release events encode subjective value and further demonstrate that increasing dopamine release causally modifies price sensitivity., The mesolimbic dopamine system is strongly implicated in motivational processes. Currently accepted theories suggest that transient mesolimbic dopamine release events energize reward seeking and encode reward value. During the pursuit of reward, critical associations are formed between the reward and cues that predict its availability. Conditioned by these experiences, dopamine neurons begin to fire upon the earliest presentation of a cue, and again at the receipt of reward. The resulting dopamine concentration scales proportionally to the value of the reward. In this study, we used a behavioral economics approach to quantify how transient dopamine release events scale with price and causally alter price sensitivity. We presented sucrose to rats across a range of prices and modeled the resulting demand curves to estimate price sensitivity. Using fast-scan cyclic voltammetry, we determined that the concentration of accumbal dopamine time-locked to cue presentation decreased with price. These data confirm and extend the notion that dopamine release events originating in the ventral tegmental area encode subjective value. Using optogenetics to augment dopamine concentration, we found that enhancing dopamine release at cue made demand more sensitive to price and decreased dopamine concentration at reward delivery. From these observations, we infer that value is decreased because of a negative reward prediction error (i.e., the animal receives less than expected). Conversely, enhancing dopamine at reward made demand less sensitive to price. We attribute this finding to a positive reward prediction error, whereby the animal perceives they received a better value than anticipated.

Establishing that a demand mapping is injective is core first step for a variety of methodologies. When a version of the law of demand holds, global injectivity can be checked by seeing whether the demand mapping is constant over any line segments. When we add the assumption of differentiability, we obtain necessary and sufficient conditions for injectivity that generalize classical \cite{gale1965jacobian} conditions for quasi-definite Jacobians., Comment: 22 pages

This research investigates the relationship between price and demand of multi-attribute products positioned for different market segments. In light of the third law of demand theory and Lancaster’s and Rosen’s approach to consumer theory based on a product’s multiple characteristics (Lancaster 1966, 1971; Rosen 1974), we propose a new approach that can be used to evaluate product positioning and pricing strategies, one that integrates both economic and marketing theoretical underpinnings. Specifically, we posit that the change in relative price of a multi-attribute product, in comparison to another similar product positioned as a lower-end equivalent, will play a vital role in determining the overall demand of that product among its appropriate market segments. Based on hedonic pricing analyses using pricing data collected from Taiwan, we find that despite an increase in overall prices of high-end glasses (e.g., glasses lens positioned in the high-end category paired with glasses frames that are also positioned in the same category) relative to low-end glasses products (e.g., glasses lens positioned in the low-end category paired with glasses frames that are also positioned in the same category), effective lens and framing pairing combinations may lead to a decrease in relative prices of the high-end glasses. Consequently, the overall demand of high-end glasses among high-end consumers can increase significantly. The findings support our proposition regarding the role of relative price in relation to consumer demand for multi-attribute products. Theoretical and managerial implications are discussed.

The linear demand curve and the consumer optimization problem are treated as separate, mutually exclusive manifestations in economics texts, leading to oversights and spurious results. We introduce a Revised Demand Framework (RDF) elucidating the underlying consumer optimization problem within the linear demand framework with its results. Income increases do not shift the demand curve but rotate it clockwise around the x-intercept as demand converges at all prices to its unconstrained optimum where p = 0. Thus, increases in income make the demand curve more price inelastic; income elasticity and price elasticity are additive inverses in equilibrium. Changes in income exhibit a quasi-Slutsky Decomposition; direct effects rotate the demand curve around the x-intercept while indirect effects shift it with the demand curve. Hence, the Law of Demand is inviolable as each purported violation is associated with a change in the unconstrained optimum shifting the demand curve. Convergence of demand to a finite level as income increases suggests that expansionary macroeconomic policy targeting consumer income could have a more limited impact than expected. Similarly, models employing Cobb Douglas preferences should justify isoelastic demand or nonfinite convergence in income when relying on these properties. Finally, we present a model of demand that is liner in price.

We offer a rationalization of the weak axiom of revealed preference (WARP) and of the weak generalized axiom of revealed preference (WGARP) for both finite and infinite data sets of consumer choice. We call it maximin rationalization, in which each pairwise choice is associated with a "local" utility function. We develop its associated weak revealed-preference theory. We show that preference recoverability and welfare analysis à la Varian (1982) may not be informative enough, when the weak axiom holds, but when consumers are not utility maximizers. We clarify the reasons for this failure and provide new informative bounds for the consumer's true preferences.

We provide necessary and sufficient conditions for the demand for financial assets to satisfy the law of demand (prices and quantity demanded move in opposite directions) when preferences take the expected utility, multiplier preferences, Choquet expected utility, and the maxmin expected utility forms. For the first three models the law of demand holds when the variation in the coefficient of relative risk aversion stays within a specified bound. Ensuring the law of demand holds in the maxmin expected utility model requires constant relative risk aversion.

International audience; Although pricing strategies have significant effects on brand performance and have been growth drivers of the luxury industry for decades, there is only little research on luxury pricing strategies. Most academics and managers believe that there is a ‘democratization of luxury’ since the 1980s. Today, luxury is regarded as accessible for almost anyone. On the other hand, researchers and consumers still consider ‘high prices’ as one of the most important luxury characteristics. To resolve this paradox, this paper analyzes ‘expensiveness’ as a key feature of luxury products: Is luxury expensive or has it really democratized? It outlines the different types of luxury with reference to their ‘expensiveness.’ Based on a literature analysis about research on pricing in luxury marketing, the paper presents eight indicators of ‘expensiveness.’ After discussing how the Veblen, Snob and Bandwagon effects break the law of demand, analyses of real data follow with some case studies about the price development of luxury products in different countries and product categories. They show that the method of price comparison by Fourastié can provide brand managers a more realistic picture about the ‘expensiveness’ of their products for their target customers. The paper concludes with some major lessons learned.

We provide a theory to explain the data generated by experiments with double oral auctions. Our theory predicts convergence to the equilibrium implied by the law of demand and supply and provides an explanation of disequilibrium behavior. The predictions of our theory seem to fit the data better than do the predictions of Walrasian, Marshallian, or game theoretic models. Our theory also suggests that, in demand-supply environments, the double oral auction is remarkably robust in the sense that aggregate performance is similar for a very wide range of individual behaviors.

Do not quote without permission; In this paper, I propose to interpret the history of stability analysis of a Walrasian exchange economy through the lenses of the concept of substitutability. A purely mathematical approach of this story does not seem sufficient to account for the way economists have studied the question of stability and how thay have reacted to the results of this research program. My point is that mathematical constraints kept apart, the concept of substituability has shaped the path followed by stability analysis since the publication of Value and Capital (Hicks, 1939) up to the Sonnenschein-Mantel-Debreu theorems and beyond. Thus, I uphold that firstly, the concept of substitutability allows to catch the heuristic behind the work on stability, and secondly, it allows replacing the importance of SMD results in a broader context, giving a more subtle view of the ups and down of general equilibrium theory as a research program.

Do not quote without permission; In this paper, I propose to interpret the history of stability analysis of a Walrasian exchange economy through the lenses of the concept of substitutability. A purely mathematical approach of this story does not seem sufficient to account for the way economists have studied the question of stability and how thay have reacted to the results of this research program. My point is that mathematical constraints kept apart, the concept of substituability has shaped the path followed by stability analysis since the publication of Value and Capital (Hicks, 1939) up to the Sonnenschein-Mantel-Debreu theorems and beyond. Thus, I uphold that firstly, the concept of substitutability allows to catch the heuristic behind the work on stability, and secondly, it allows replacing the importance of SMD results in a broader context, giving a more subtle view of the ups and down of general equilibrium theory as a research program.

Since the economic theory became a mathematical description of social behavior, there are essentially two ways of thinking. The neoclassical or orthodox paradigm is based on exchange model and marginal analysis. Because the range and depth of insights is limited, nothing more is possible to investigate, than the conditions of steady-state equilibrium (general or partial), namely the scarcity and the pattern of needs. This market models are indeed not social, because the Law of Demand is based on methodological individualism i.e. on a behavior of Robinson Crusoe. In a model of two-person economy the demand function is not “well-behaved”. The theory of perfect competition is also problematic, because the demand for the products of individual firm (as a horizontal line) is inconsistent with the downward sloped market demand line. The supply side of this theory raise similar objections. Hence, the social substance of economic processes is obscure. Postclassical paradigm – rooted in classical, English political economy – consist of marxian, kaleckian, sraffian and postkeynesian (robinsonian and kaldorian) way of thinking and is aimed at explaining the dynamic processes. The economy is treated as a circular flow of production and consumption or as a continuous extended reproduction. The earmark is the theory of distribution as an element of the theory of value (price) and growth. While the neoclassical models lack the answer to the problem of the recent crisis/recession, the inspiration for a policy makers was most probably postkeynesian theory.

By using panel data of 31 provinces or cities during 1998-2012 in China, this paper measured the housing market demand elasticity. Different from the previous related research, we considered the impact of housing price expectations on housing demand and distinguished between the housing consumption demand price elasticity and investment demand price elasticity. The results showed that there were differences in different regions on housing market demand elasticity such as price elasticity of housing consumption demand, price elasticity of housing investment demand and housing demand income elasticity, etc. The results could provide useful suggestions on regulating the real estate by the Chinese government.

Restrictive state abortion laws make it more difficult and costly for women to obtain an abortion. The fundamental law of demand posits that an increase in the cost of an abortion should cause the number of abortions to decrease. This suggests that restrictive state abortion laws should cause women with unintended pregnancies to have fewer abortions and concomitantly more unintended births. This paper investigates the impact four restrictive state abortion laws—No Medicaid Funding, Parental Involvement, Mandatory Counseling and Waiting Periods—have on the unintended birth rates of the 50 US states for the year 2006. Using a variety of methodologies, the empirical results show that, contrary to the theoretical prediction, these four antiabortion laws do not have a significant positive effect on unintended birth rates.

As the rise in popularity of online games, the users start exchanging rare items for real money. As RMT (Real Money Trade) is prevalent, GFG (Gold Farming Group) who abuse RMT shows up. GFG causes social problems such as identity theft, privacy leaks. Because they needs many bot characters to gather game items. In addition, GFG induce RMT that makes in-game problems such as a destroying game economy, account hacking. Therefore, It is very important work to collapse GFG at the perspective of social and in-game. In this paper, we proposed a fundamental method for detecting RMT buyers for the collapse of GFG at the perspective of buyer by Law of Demand and Supply. We found two type of RMT by analyzing actual game data and detected RMT buyers with high recall ratio of 98% by ruled-based detection.

The aggregate law of demand for an exchange economy can be weakened while still obtaining uniqueness, global stability, and good local comparative static properties for equilibrium. Classically, this is done by assuming that the Jacobian of excess demand is negative definite in the dimensions of compensated price changes, this being the weak axiom for aggregate demand. Similarly, though, one obtains the very same properties of equilibrium by only assuming that this Jacobian acts negatively in the one remaining complementary dimension. We refer to this dimension as the direction of the income effect, in analogy to a representative consumer. It is further argued that stability under this complementary condition is less sensitive than is the weak axiom to breakdowns in the condition far from the region under consideration.

The Coefficient of Sensitivity CS (or coefficient of elasticity) is used to determine the sensitivity and robustness of prices (coefficients) in the analysis of Ecosystem Services (ESs). The common CS approach is applied based on a specific % change of an ES coefficient keeping constant the coefficients of the remaining ESs. This approach assumes that when CS value is >1 then the estimated ES value is non-robust because it is elastic. The aim of this study is to show that the common approach of CS used in ESs studies is erroneously applied and interpreted. A simplistic calculus is provided which shows that the CS values of ESs a) are always in the range between 0 and 1 leading always to the conclusion that the applied coefficients by the users are robust, and b) are always independent by the % change of an ES coefficient defined by the user. Other reasons which question the validity of the common approach are that the CS values a) are always positive which is unrealistic in real market since it always violates the “law of demand” and b) can be manipulated by the user by changing the boundaries of the study area.

The study examines the economic impact of climate change. This is done through a field survey design which involves survey of marketers in Port Harcourt with the aid of archival data from Port Harcourt. Climate data were collected from the archives of Nigeria Meteorological Agency from 1950 to 2015 based on the availability of data. And data on prices and quantity of umbrella, cement, ice cream, cream, palm oil, rubber sander, cold sachet water sold, etc. were extracted from the traders’ dairies from 2004 to 2014. The data collected were presented in tables and descriptive diagrams, and analyzed with the multiple regression analysis; this was done to determine the effect of rainfall and temperature on prices of goods in the city. The results revealed an evidence of climate change in Port Harcourt with an increase of 1581 mm and 3°C for rainfall and temperature, and double rain maxima in the months of July and September. It also confirms the concept of econo-climate by establishing strong correlation between rainfall and temperature and price of goods demanded and supplied. The price and the quantity of goods demanded and supplied are significantly dependent on the amount of rainfall and temperature in the area, and as such the quantity of goods demanded and supplied negates the law of demand and supply which states that the higher the price, the higher the quantity supplied in the area. On this premise planners at the federal, state and local government levels are advised to incorporate climate mitigation and adaptation strategies in urban renewer and planning to avoid unforeseen climate disasters in our urban areas.

The combination of habits and a forward outlook suggests that consumers will be sensitive not justto prices but to price dynamics. In particular, rational habits models suggest 1. that price volatilityand uncertainty will reduce demand for a habit-forming good and 2. that such volatility will dampendemand’s responsiveness to price. These two implications can be tested by augmenting a traditionalpartial-adjustment or error-correction model of demand. I apply this augmented model to data ongasoline consumption, as rational habits provide a succinct representation for the investment andbehavioral decisions that determine gasoline usage. The trade-o¤s among FE 2SLS, system GMM,and pooled mean group (PMG) estimators are considered, and my preferred estimators provideevidence of rational habits in a panel of 29 countries for the years 1990-2011. Such habits mayhelp to explain some of the cross-country and cross-time variation in ‘total’price elasticity. Thesehabits also imply that the e¤ect of price uncertainty must be taken into account when projecting theimpacts of potential policies on gasoline consumption.

Advances in smartphone technologies enable mobile data subscribers to resell their data allowance to other users, creating a secondary data market. The trading environment of this secondary data market is dynamic and ad-hoc: buyers and sellers join and leave the market at all times, changing the trading landscape constantly. The amount of data demanded and offered at any point in time also vary. These conditions make determining a fair transaction price, and matching buyers to sellers difficult in practice. Prior schemes utilize global description of the network and market forces to achieve good performance, but the implementation requires a high overhead cost. In this paper, we present DataMart, a data pricing and user matching platform for trading in this dynamic, ad-hoc and heterogeneous market that works in distributed manner without needing global information. Using insights from real world traces, we demonstrate via simulation that our pricing scheme is converging and consistent with the law of demand and supply. Further, our user matching scheme achieves comparable performance to the optimal solution. We implement a prototype on Android platform, and the experiment results confirm the effectiveness of DataMart.

We collect contingent valuation data from 524 student survey respondents over a 3-day, 72-hour period. Data analysis of a hypothetical campus referendum focuses on time-of-day effects on willingness to pay for a renewable energy project. We find that subjects responding to the survey during the night-time hours (i.e., between 12 a.m. and 6 a.m.) do not display the law of demand, offering theoretically invalid responses to questions with important policy implications. Results from this research may have serious implications for the contingent valuation method (CVM). In short, just like your father said, nothing good happens after midnight when using the CVM. (JEL Q51)

The article examines social and philosophical problems of spatial planning and urban development from the 1920's until the present. From the historical point of view there are three phases: the 1920s, 1930-1980s, 1990-2010s. In the 1920s two approaches were used in the development of the country: technical and economic and personalistics. The first meant not only the development of power engineering but also of the economy in the whole country. The second lies in stimulation of active creative work, disclosure of worker’s personal potential. On the one hand, it was turned to economic and technical modernization on the basis of the State Plan of the Electrification of Russia; on the other, it was relied on "diligent farmer". In the 1930-1980s the technical and economic approach was dominating. In the 1990-2010s the market approach was widely extended. According to the latter, the development of the national economy should be executed depending on the law of demand and supply. In Russia the realization of the market economy based on demand and supply was reduced to development of exclusively highly profitable business. In the article the author uses the methods of historical knowledge, analysis and comparison and provides suggestions on solving problems of spatial planning and urban development. Special emphasis is placed on the Soviet experience of the 1920s, when the market relations have not been completely destroyed.

This paper describes a classroom experiment suitable for elementary school students in which participants are actively engaged in making trading decisions. Students are provided an endowment of gum and are asked to make trading decisions to acquire chocolate. As the opportunity cost of acquiring a piece of chocolate rises, fewer students are willing to make trades. This interactive classroom exercise illustrates three fundamental economic concepts: the law of demand, opportunity costs, and gains from trade. Assessment test results reveal that two days after this classroom exercise, fifth grade students register significant improvements in their understanding of three fundamental economic concepts.

This paper raises an approach to the study of consumer behaviour and markets with a particular emphasis on agricultural commodities. It develops an analysis of demand for certain products during a recent economic recession in Spain by showing the behaviour of some of them as Giffen goods in some years. According to the theory of Giffen demand, there is a direct (positive) relationship between price and the quantity demanded. Thus, the income effect outweighs the substitution effect. The main contributions of this work can be summarized in the next three points: 1) This paper studies the consumer behaviour from a Giffen perspective, beyond a traditional and rational utility approach; 2) It also suggests a framework to analyse several socioeconomic proposals and theories related to the sustainability and Human Rights-based ethic level (intrinsic to Giffen behaviour); 3) Finally, this theory is a significant contribution to design better economic policies. The analysis of Giffen phenomenon has greater explanatory power than the classical theory of Marshall. It also helps to reveal a number of important effects that are usually ignored and that could contribute to clarify some current economic phenomena. First published online:05 Feb 2014

Right from the Stone Age one law is governing the market for every generation and that well acknowledged law is "Law of Demand & Supply". ICT is not far away from this law. It is a well-known fact that when cyber world is marching rapidly towards higher form of technological evolution, Cloud Computing has entered as backbone support to ICT as a tool for better cost performance. It is a platform, which is highly governed by the law of "Demand &Supply", whether it is Banking, Healthcare or Agriculture, all are in need of this technology to make their performance as cost effective as possible and ubiquitous in functionality. As by the law, Demand and Supply both go hand-to-hand. This paper presents some of the demand facets and corresponding supply services for banking, agriculture and healthcare. It enables software architect to make the framework of any sector to build up fully fledged working domain in due consideration of cloud computing. Keyword: Banking and Financial System (BFS), Cloud Computing, Hospital Management Information System (HMIS), Information Communication Technology (ICT), SaaS Application, Total Cost of Ownership (TCO)

We consider a newsvendor problem with price-dependent demand, in either additive or multiplicative format. The newsvendor has two modes of purchasing: regular ordering at the beginning of the selling season and emergency ordering (if the realized demand exceeds the initial order quantity) at the end of the selling season. By stochastic comparisons, we systematically investigate the effects of demand magnitude and demand randomness on pricing and ordering quantity decisions as well as expected profit of the newsvendor, under both usual stochastic order (first order stochastic dominance) and convex order (less variable). Our key findings include: (i) in contrary to the case where price is exogenous, a stochastically larger demand shock may even lead to a lower order quantity; (ii) a stochastically larger demand shock leads to a higher price for the additive demand case, but may lead to a lower price for the multiplicative demand case; (iii) a stochastically larger demand shock leads to a higher expected profit for both demand models; (iv) in general, a less variable demand leads to a higher expected profit for both demand models; and furthermore, a less variable demand shock has no effect on price for the additive demand model, but leads to a higher price for the multiplicative demand model. The implications of all these findings for pricing and order quantity are discussed in detail.