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Phillips explains that there is a trade off between inflation and unemployment. When there are high levels of demand in the economy, firms hire workers to be able to meet this demand, leading to low level...

A natural monopoly is a subset of the monopoly market structure that we looked at previously. It's a special case, where a monopoly market structure can be more efficient for society (than opposed to the ...

There are four fundamental assumptions which must all be satisfied:
There must be many buyers and sellers in the market and they all have to be price takers. That is to say, none of them are large en...

Price elasticity of demand (PED) is defined as % change in quantity demanded / % change in price. This is also the slope of the demand curve. If PED is less than 1, we say that the demand for the good is ...

Inflation is a sustained increase in the general price level of the UK economy. Due to inflation, it means that the value of money decreases, so each pound can buy less. This means that the real value of ...