Economics

Why are there tall buildings in city center and lower heights away from city center?

Bid Rent Theory

Introduction Let’s begin with a simple question. I guess most of us have been to city core or we must have imagined at least. Its more or less similar as in the below photograph (Credits : Markhafer, Source: Wikipedia, Frankfurt CBD). Have you ever gave a logical thought on why there are so many tall …

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Gross Domestic Product (GDP)

Gross Domestic Product (GDP) GDP is an estimated value of the total worth of a country’s production and services, within its boundary, by its residents whether nationals and foreigners, generally calculated over for one year or some specified time period. It can also be understood as production within boundaries of a country irrespective of production …

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Monopoly

A Monopoly is said to exist when a person/firm/company is the only supplier of a product/commodity or service. Pure monopoly – where only one producer exists in the industry In reality, rarely exists – always some form of substitute available Monopoly exists, where one firm dominates the market Firms may be investigated for examples of …

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Oligopoly

An oligopoly is a market condition or form which occur when market or industry is dominated by a small number of sellers called as oligopolists. Oligopolies can result because of various forms of collusion which reduce competition and lead to higher prices for buyers. Competition between few. May be a large number of firms in the industry but …

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Theory of Comparative advantage

In economics, Theory of Comparative advantage refers to the ability of a party to produce a particular good or service at a lower marginal and opportunity cost over another. Even if one country is more efficient in the production of all goods (absolute advantage in all goods) than the other, both countries will still gain by trading with each other, …

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