price theory

price theory
A theory that, at the microeconomic level, defines the role of prices in consumer demand and the supply of goods by firms. At a broader level, it explains the role of prices in markets as a whole. At the macroeconomic level it treats wages and interest rates as the prices of particular goods, thus implying that governments must take market forces into account when formulating such policies as incomes policy and monetary policy.

Big dictionary of business and management. 2014.

Игры ⚽ Поможем сделать НИР

Look at other dictionaries:

  • price theory — ➔ theory * * * price theory UK US noun [U] ► ECONOMICS the study of how prices are decided and how they go up and down because of economic forces such as changes in supply and demand: »Still central to much of contemporary price theory is the… …   Financial and business terms

  • theory — theo‧ry [ˈθɪəri ǁ ˈθiːəri] noun theories PLURALFORM 1. [countable] an idea or set of ideas that is intended to explain why something happens or how it works: theory of • The book is called An Evolutionary Theory of Economic Change . • The theory… …   Financial and business terms

  • Price — For the surname, see Price (surname). For other uses, see Price (disambiguation). Contents 1 Definition 2 Economic Definition 3 …   Wikipedia

  • price system — ▪ economics Introduction       a means of organizing economic activity. It does this primarily by coordinating the decisions of consumers, producers, and owners of productive resources. Millions of economic agents who have no direct communication …   Universalium

  • Theory of the firm — The theory of the firm consists of a number of economic theories that describe the nature of the firm, company, or corporation, including its existence, behavior, structure, and relationship to the market.[1] Contents 1 Overview 2 Background …   Wikipedia

  • Theory of value (economics) — Theory of value is a generic term which encompasses all the theories within economics that attempt to explain the exchange value or price of goods and services. Key question in economic theory include why goods and services are priced as they are …   Wikipedia

  • Price discrimination — or price differentiation[1] exists when sales of identical goods or services are transacted at different prices from the same provider.[2] In a theoretical market with perfect information, perfect substitutes, and no transaction costs or… …   Wikipedia

  • Theory (brand) — theory (marketed in lower case letters) is a New York based men s and women s contemporary better sportswear fashion label known for its clean line and luxuriously simple clothes and accessories. theory merchandise is sold through signature… …   Wikipedia

  • Price gouging — is a pejorative term for a seller pricing much higher than is considered reasonable or fair. In precise, legal usage, it is the name of a felony that applies in some of the United States only during civil emergencies. In less precise usage, it… …   Wikipedia

  • Theory of Deep Democracy — Theory of Deep DemocracyThe theory of deep democracy makes a distinction between merely formal and deeper forms of democracy. Formal democracy is an important part of deep democracy, but it is merely a beginning or a necessary condition. In order …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”