The Interrelationship between Markets – AQA Spec

The Interrelationship between Markets – AQA Spec

Courses Info

Level: AS Levels, A Level, GCSE – Exam Boards: Edexcel, AQA, OCR, WJEC, IB, Eduqas – Economics Revision Notes 

Changes in one particular market are likely to affect other markets – this effect depends on the type of demand and supply a good / service has.

Types of Demand

Joint Demand

This occurs when two goods are bought together; an increase in the demand for one good will lead to an increase in the demand for the other good

Derived Demand

This occurs when the demand for one good is somewhat dependent on the demand for another good. For example, the demand for labour is derived from the demand for the goods / services it will produce

Composite Demand

This occurs when the demand for the good has more than one purpose

Types of Supply

Joint Supply

This occurs when an increase in the supply of one good leads to an increase or decrease in the supply of another good

 

A Level Economics Past Papers