Alfred Marshall wrote the book “Principles of Economics,” which emphasized that the price and production of goods is determined by both supply and demand. Marshall contributed many original ideas to the study of economic... More »

Adam Smith's main contributions to the field of economics were to lay the conceptual foundations for measuring a nation's wealth not by its gold or silver reserves but by its levels of production, and also to champion fr... More »

Another term for "equilibrium price" in economics is "market-clearing price," which is a price point at which the market achieves a balance in terms of supply and demand. When the market reaches a market-clearing price, ... More »

Economist John Maynard Keynes made many contributions to the field of macroeconomics including his inflation theory, stance against Say's Law, unemployment thoughts, borrowing during the recession theory, belief in gover... More »

The law of supply and demand in economics indicates that a "surplus" exists when supply of a given product exceeds demand. If the supply of gum exceeds demand, for instance, resellers end up with excess inventory that th... More »

The laws of supply and demand are foundation concepts in the field of economics. The law of demand indicates that under typical circumstances, the greater the price of a good, the lower the demand. The law of supply indi... More »

Allocation in economics is an analysis of how limited resources, also called factors of production, are distributed among producers, and how scarce goods and services are divided among consumers. Accounting cost, opportu... More »