Second, it increases global asset demand, generating asset price inflation.

When the demand for potatoes at the current price exceeds supply, the price of potatoes rises, signaling scarcity.

Any lower price in euros would cause excess global demand for oil, while a price above 75 euros would not create enough demand to absorb all of the oil that producers wanted to sell at that price.

There is not enough demand amongst consumers to make price skimming work.

This process is determined by rules of supply and demand, price, investment and financial transaction liberalization.

Of course, prices cannot continue to rise indefinitely the price increase will ration demand.

Expanding the demand and reducing the supply of these risky assets is a way of manipulating their price.

That way, wage income, not debt and asset price inflation, can again provide the engine of demand growth.

As output and consumption become more stable, investors do not demand as large a risk premium. The lower the price of risk, the higher the price of risky assets.

They would pay a price, since investors in these bonds would initially demand a novelty premium.

Associated with import demand elasticity estimates, quantity measures can be translated into price effects quite safely.

By buying government bonds for cash, a central bank can satisfy demand and push down the price of cash.

Strong global demand, owing to emerging economies like China, has undoubtedly fueled some of the price increase.

As legions of new consumers gain purchasing power, demand inevitably rises, driving up the price of scarce commodities.

And now, like all asset price surges that are divorced from the fundamentals of supply and demand, the gold bubble is deflating.

Because the oil market is global, with its price in different places virtually identical, the price reflects both total world demand for oil and total supply by all of the oil producing countries.

For China s, the income effect of global demand is significantly larger than the price effect of the exchange rate.

Of the thirteen reformers who were arrested, ten submitted to this demand, but the other three refused and have paid the price.

In the 1960 s, Friedman showed that Keynesian demand management through government spending constantly increased the money supply, accelerating wage and price growth.

Moreover, quantity measures associated with information on import demand elasticities could give price effect estimates and thus allow for the computation of AVEs.

The price will fall if the increase resulted from growth in supply, and it will rise if the increase resulted from growth in demand.

Lower demand for Greek debt caused its price to fall, meaning that its yield in terms of market interest rates rose.

At such a time, central banks must step in and set the price of liquidity at a reasonable level make it a centrally planned and administered price rather than let it swing free in response to private sector supply and demand.

For a variety of reasons, mostly related to government intervention, few emerging market economies can be categorized as having flexible resource demand, so commodity price spikes are not having a particularly big effect on demand.

First, it contributes to yen depreciation and dollar appreciation as carry traders switch out of yen. Second, it increases global asset demand, generating asset price inflation.

The Fed has been trying to slow demand growth and cool the housing price bubble to avoid inflation, but carry trade speculators have been easing credit.

The reserve price places a cap on how high commodity prices will go, as it is the price at which demand destruction occurs (consumers are no longer willing or able to purchase the good or service).

But the corresponding decline in demand caused the price of oil to plummet in 1986, ushering in a new era of cheap energy.

For starters, unanchored inflation expectations and structural difficulties might mean that efforts to boost demand show up almost entirely in faster price growth and only minimally in higher employment.

But the picture is far more complicated, because oil demand is extremely price insensitive. In the short run, it is technically difficult to adjust consumption.

The introduction of an NTB that does not take a price ad valorem form makes the import demand curve shift in a non parallel way.

Keynesian demand management was thus displaced by a new understanding which we owe largely to Friedman that pursuing fiscal discipline and price stability is the best guarantee of macroeconomic sustainability.

But the scale of the price spike exceeds normal demand and supply factors, pointing to the role of speculation and underscoring the need for policy action to clean up the oil market.

At such a time, central banks must step in and set the price of liquidity at a reasonable level make it a centrally planned and administered price rather than let it swing free in response to private sector supply and demand. This is the doctrine of lender of last resort.

Fearful of a relapse of end market demand in a still shaky post crisis world, Asian policymakers have been reluctant to take an aggressive stand for price stability.

Price later married Mary Grant Price, and they had a daughter, Mary Victoria Price, on April 27, 1962.

But they won t, because they compete mostly on price. So customers need to demand security as part of their service, while ISPs need to shun ISPs that don t comply.

An increase in the stock price of steel manufacturers suggests an increase in the demand for steel, which induces entrepreneurs to start more steel plants and investors to provide them with the money.

One explanation for the difference is accelerating wage growth across developing regions, which is raising commodity demand, whereas stagnating wages in developed markets are causing the reserve price to decline.

The increasing demand for oil from all countries, but particularly from rapidly growing emerging market countries like China and India, has therefore been, and will continue to be, an important force pushing up the global price.

The proximate cause of price growth since mid 2007 is the appearance of production bottlenecks as domestic demand exceeds supply in an increasing number of sectors, such as power generation, transportation, and intermediate goods industries.

Ask price, also called offer price, offer, asking price, or simply ask, is the price a seller states she or he will accept for a good.

They leaked information to the Laramie Daily Sentinel which published an article about the finds in April 1878 that exaggerated the price Marsh had paid for the bones, possibly to raise prices and demand for more bones.

Price.

(a) Price and wage adjustment.