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a) Industry demand and Firm (Company) demand

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a) Industry demand and Firm (Company) demand
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  a) Industry demand and Firm (Company) demand, Industry demand has reference to the total demand for the products of a particular industry, e.g. the demand for textiles.Company demand has reference to the demand for the product of a particular company which is a part of that industry, e.g., the demand for textiles produced by the XYZ. The company demand may be expressed as a percentage of industry demand. The percentage so calculated would indicate the market share of the company. onopoly is that market category in which there is only a single seller and therefore there is no di!erence between a "rm and an industry.  The "rm is itself an industry and therefore the demand cur#e of the indi#idual "rm as well as the industry demand cur#e under monopoly will be the same and as we shall see later is downward sloping.  The demand cur#e for an indi#idual "rm is hori$ontal% this is because consumers cannot di!erentiate between "rms, thus "rms are price takers.  The demand cur#e for the industry is a normal downward sloping cur#e &unless it's aspeci"c market with a di!erent demand% (eblen goods, etc.) b) Short-run demand and Long run demand In economics, demand is the desire to own anything, the ability to pay for it, and the willingness to pay. The term demand signifies the ability or the willingness to buy a particular commodity at a given point of time.Short run is defined as a period where adjustments to changed conditions are only partial, e.g.; if defined for the product for a firm increases, in the short run it can meet the increased demand through changes inman-hours and intensive use of existing machinery, but it cannot increase its production capacity.ong-run is a period where adjustment to changed circumstances is complete. !or example, the above mentioned firm can meet the increased demand in the long-run by ma"ing changes in its production capacity or by setting up an additional plant, besides changes in man-hours and intensive use of its existing machinery.  #ecause of the stic"iness of resources in the short run, in the short run there can be imbalances in supplyand demand. $reas in which there is increased demand may encounter shortages until resources can be shifted to it and li"ewise areas of decreasing demand can see excess supply. The long run is assumed to have no imbalances of this sort. c) Durable goods’ demand and Non-durable goods demand Durable Goods • %oods that go on yielding services to the consumers over a number of periods in future. !urther, because of their durability they can be stored for longer periods of time. • &urable goods tend to have a long useful life. !or statistical purposes, a durable good is expectedto last at least three years, according to the 'conomics and Statistics $dministration • (onsumer durable goods include items li"e furniture, jewelry and cars. arge appliances such as stoves and washing machines are durable goods. • &urable goods can be used many number of times • &urable goods can be resold after some years • The significance of changes in durable goods production and sales is more complex. • *urable goods     are usually more expensive than non-durable goods that have to be purchased over and over again.  Non-Durable Goods • %oods are those which wear out easily and therefore they can be used for short period of time only. • )ondurable products can used for only limited number of times in some cases only once. • The mar"et for some non-durable goods, such as food, tends to be stable
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