Consumption Patterns and Economics Essay

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Consumption Patterns and Economics
Introduction
In order to get a better understanding of trends in consumption patterns, one must first understand the basic principles of economics. For the purpose of this assignment I have chosen an article from The American Journal of Clinical Nutrition that comments on the recent increase in body weight and food consumption patterns of today’s children. This paper will define such terms as economics, microeconomics, the law of supply, the law of demand, and identify the factors that lead to a change in supply and a change in demand. This paper will also summarize the article and explain the basis for the trends in consumption patterns as discussed in the article and describe what occurred to change
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The Law of Supply The law of supply states that quantity supplied rises as price rises, other things constant and or alternatively, quantity supplied falls as price falls, other things constant” (Colander, 2008). The law of supply is based on a firm’s ability to switch from producing one good to another, that is, to substitute” (Colander, 2008).

The Law of Demand
The law of demand is “a microeconomic law that states that, all other factors being equal, as the price of a good or service increases, consumer demand for the good or service will decrease and vice versa” (Investopedia). This law shows how a change in price can affect an individual’s desires or demand for any particular item. Factors that lead to a change in Supply and a change in Demand

To analyze the factors that change supply one must first understand the difference between supply and quantity supplied. Supply “refers to a schedule of quantities a seller is willing to sell per unit of time at various prices, other things constant, while quantity supplied refers to a specific amount that will be supplied at a specific price” (Colander, 2008). Factors that can that affect how much will be supplied include the price of inputs used in production, technology, expectations, and taxes and subsidies. The same scenario applies to the factors

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