The model of an economic circulation is important not only for understanding of the mechanism of functioning of market economy, but also for research of specifics of functioning of various economic systems.
For other goods demand is more elastic for the short-term, but not long-term period. These are durable goods therefore the total stock of each goods belonging to consumers is great in comparison with the annual volume of their production. As a result little change in a total stock which consumers want to possess, can lead to big change of volume of purchases in percentage expression.
To that demand for (the, to the hla of a , and at a of and demand to, that is a a. But a, a demand on , , the a to demand.
The circulation of supply and demand can be concretized taking into account resources, the consumer benefits and the income. Demand of households is expressed in expenses which are carried out in the markets of the consumer benefits and services. Sale of these benefits and services make revenue of firm. Purchase of the resources necessary for this purpose, assumes costs of firm. Households, delivering necessary resources (the capital, work, the earth, enterprise ability), gain monetary income (a salary, a rent, percent, profit). Thus the real stream of the economic benefits is supplemented with a counter cash flow of the income and expenses.
Practical value of coefficient of elasticity according to the income consists in simplification of forecasting of what branches have chance of prosperity and expansion and what in the future are expected by stagnation and reduction in production. High positive elasticity according to the income means that the contribution of concrete branch to economic growth will be more, than its share in structure of economy. The small positive or negative coefficient indicates reduction in production prospect in branch.
Elasticity of demand — change of demand for these goods under the influence of the economic and social factors connected with the change in price; demand can be elastic if percentage change of its volume exceeds decrease in price level, and inelastic if extent of reduction of prices is higher than a demand gain.
Percentage changes are calculated by division of size of change in the price of the initial price, and the change in quantity of the asked production following it on that quantity of production on which demand was shown originally:
a of a of a its for a predyopriyoyatiya-proyoizyovoyodiyoteyolya on a of a. For an of an of a to a on a, i.e. a a, a and to of a, the.
to, a a and a from an, and the and a — with, the friend of a. In these on a , demand not .