Modern Economy

Volume 4, Issue 12 (December 2013)

ISSN Print: 2152-7245   ISSN Online: 2152-7261

Google-based Impact Factor: 0.96  Citations  

A Model Illustrating Consumer Inconstancy: Demand and Supply Sides

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DOI: 10.4236/me.2013.412088    3,295 Downloads   4,846 Views  
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ABSTRACT

John M. Clark in his classic 1923 Economics of Overhead Costs asks if anyone knows what it costs to supply demand irregularity. He also asks if consumers need demand irregularity, consciously or unconsciously. We provide a model for a plausible theoretical basis to begin to answer each question. The models permit mathematical proofs and graphic demonstrations of the costs to society of supplying for demand irregularity and of the willingness to pay on the part of consumers for demand irregularity. JEL (D24).

 

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Aranoff, G. (2013) A Model Illustrating Consumer Inconstancy: Demand and Supply Sides. Modern Economy, 4, 821-826. doi: 10.4236/me.2013.412088.

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