Economist deal with principles that help us better understand the behavior of the Consumers determinant in buying a product. The first principle that will be discussed is principle 3: Rational People think at the Margin. Everyone whether they know it or not think at the margin. And they do this when they compare prices and buy the one that will best benefit their decision. People also respond to incentives, (Principle 4). This is specified by the law of demand, which is when the price of a good goes up then the consumer will buy less of the product and therefore the quantity of the demand will fall. The essential factor to understand is what determines a buyer's demand. And the determinants that will be discussed are the price of the product, the income of the consumer, the price of related goods, taste of the consumer, and the expectation of what may happen. You will see that the behavior of the interviewee will be encouraged by the determinant of demand.
To test my theory I will interview Isaac S. Isaac is Twenty-Three years old and works full-time for the USCG, as a Ship boat Electrician.
Q: What good do you purchase on a regular basis and why do you buy it?
@ Well just about every weekend I buy beer and the reason I do this is because I enjoy the taste.
Q: When was the last time you purchased beer, and what kind of beer did you purchase?
A.: Last Sunday I purchased a case of bud light.
Q: Did you purchase bud light because it was on sale?
@ Yes, bud light was on sale for $16.99.
@ I prefer Molson beer in a bottle.
Q: If you prefer Molson then why did you buy Bud light last Sunday?
@ I bought bud light because Molson beer was not available and also the people I was hanging out with wanted Bud light.
Q: Is there a specific place that you purchase this beer?
@ Yes, I prefer the exchange because the price is lower and a lot of pla
...