Law Of Demand :-
It is the inverse relationship between the price of a goods and the quantity .Example:-
- In flipkart when big billion day come people do more shopping because, we get discount and prices are low.
- If we are going to market and see different type of apple with different rate like 100 rs/kg and 60 rs/kg. A buyer can willing and able to buy 2 kg of first one then customer can buy 4 kg of last one.
Law of Supply:-
It says that when price goes up quantity goes up and vice-versa.Example:-
- When any popular celebrity come for concert, price of ticket is high so event team provide more ticket for benefit.
- When price of onion start decreasing the producer decrease the supply of onion in market.
Elasticity:-
It is a measure of the sensitivity of one variable to another.
Example:-
- When the price of Postpaid service is increase we are switch to prepaid service.
- D Mart gives us discount that is benifbenef for us so many customers of Big Bazar are move to D Mart
Consumer Surplus:-
It is the different between the price consumer willing to pay and consumer actually pay.Example:-
- I want to buy new mobile and my budget is 10000. I search a mobile and I find a mobile of 10000. But I have to pay only 9000 because there was 10% off using SBI Credit card and that 1000 is consumer surplus.
- When we go to the Reliance mall for buy product a with certain budget and we see that Reliance giving 50% off in that product and we buy happily. That 50% off is the Consumer Surplus.
Producer Surplus:-
It is the difference between the producer is willing to sell and the price actually sold.Example:-
- I want to sell my bike at 35 k for buy a new bike. After market research i find that the price of my bike is 40 k and I sold it at 40 k at Olx.com. Here 5000 is producer surplus.
- When we go to the market and ask a shopkeeper price about a shirt they say 1000 though they want sell it at 500 and after bargaining we buy it at 700. Here 200 is producer surplus.
