Week 1 Eco 365

anoint ECO/365 Principles of Micro economicals crude In todays economy many trends in consumption patterns gouge determine where the submit and chooses ar unavoidable. In the article East Bay inunct Exports imbibe Become Huge Business, by Glantz (2012), it touches on the subject of trends and consumption of anele. galore(postnominal) people are aware hitherto for disembowel that thither is a all in all lot of anoint around us that can be used.This paper testament discuss and address the utilities derived, the neuter that essential for the product or service of merchandise and equilibrium prices, what has occurred to change the occupy and supply of the oil, and is take in for oil product or service price viscoelastic or inelastic. consort to Glantz (2012), the utilities derived from the article ware to do with the way the community consumes the oil that is creation used. When the gas prices are up there is a necessity for the oil or terminate and it volitio n most liable(predicate) cause the prices to go down.In contrast, when the prices of the oil go down, there will be more(prenominal) than of a look at and a realistic shortage of oil because the demand would turn out been great. According to Glantz (2012), the extendd of oil trade from the East Bay was linked to the economic changes and the way undivideds are consuming in the United States. Also, in the West shore they withal saw the same increase in demand for oils as the demand for domestic used was glowered.For example high gas prices, manufactures vehicle that are burn down efficient and fewer individuals commuting to and from engagement confine all contributed to the changes in the demand for such oils consumption. Additionally, the economy and individuals losing their job excessively changed the demand because they no longish needed to commute to work. Therefore, the demand for oils was no longer needed cavictimization the prices of the gasoline to increase. * According to cullender(2010), the market and equilibrium changes that have occurred to the supply (oil) by assuming that the demand stayed the same.It revealed that it did cause a big change to the price. The fewer consumers used the product the more the price rose do a change in the market. When the prices changed and began to rise, the consumers used opposite methods of getting to places they needed to go without using oil or their vehicles. * It is my opinion that oil supply can either be elastic or inelastic. According to Colander(2010), elastic is when the supply or demand percentage changes in quantity is much(prenominal) larger than the percentage change in the price.On the other hand, inelastic is when the percentage changes in the quantity are much lower than the percentage change in the price. The oil supply can be elastic because at times when the prices rise individual will try to preserve and us other alternative to not have to pay the bigger price causing the supp ly of oil to be increased. delinquency versa, the oil supply can also be inelastic because individual are endlessly going to need fuel for their vehicle in order to get from point A to point B. In conclusion, no matter the cost or shortage of the supply, some individuals or consumers will always pay what is needed in order to get where they need to go. Oil is one supply that will always be needed for either our vehicles, our food, or for exportation to other companies. Reference Glantz, A. (2012, borderland8). East Bay Oil Exports Have Become Huge Business. THe unexampled York Times. Retrieved from http//www. nytimes. com/2012/03/09/us/oil-exports-have-become- huge-business-in-the-san-francisco-bay-area. html? _r=0 Colander, D. C. (2010). Economics (8th ed. ). New York, NY McGraw-Hill. * *