StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Housing Market in the United Kingdom - Essay Example

Cite this document
Summary
From the paper "Housing Market in the United Kingdom " it is clear that choice in economics means that a person or business entity makes a decision among the alternatives based on limited resources the person has. A person with a higher income has more choices than a poor person…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER95.3% of users find it useful
Housing Market in the United Kingdom
Read Text Preview

Extract of sample "Housing Market in the United Kingdom"

The person makes $250 a week clean from his hot dog stand operation. The person gave up a job where he was making $400 net a week. This means that the individual is incurring an opportunity costs loss of $150. Opportunity costs can be defined as what a person is given up to perform a particular action (Varian, 2003). The opportunity costs of working on Sunday to gain a little overtime is the leisure family time the person could have enjoyed in his day off.

Part (b)
The law of demand states, all factors being equal, that if the price of a good or service increases the overall consumer demand for that good or service will decrease (Investopedia, 2009). A consumer product that is very popular in households is Kellogg’s Frosted Flakes. If several generic brands of corn flakes left the marketplace the supply curve for Kellogg’s would shift to the right. Another way the demand curve would shift is through positive marketing news. If this product won an award for the best cereal in 2008 the demand for the product would shift to the right. A different product we could analyze is GM cars. The supply curve of GM cars would shift to the left if several manufacturing plants close down. Another way it would shift to the left is if the prices of Japanese imports decrease.

Question 2
Part (a)
The demand for the housing market in the United Kingdom could shift to the left or the right if there are changes in factors that influence the marketplace. There are several factors that could change the UK ownership housing market demand. If the population in the UK changed this variable would affect the demand. An increase in the population would raise the demand. Another factor that could affect the buying of homes in the UK is if the price of rental homes changes. A decrease in the price of the rental would make the option of buying a home less attractive and would decrease the demand. A third factor that could affect the demand for homes in the United Kingdom is a change in the income of the population. Higher-income among the population would increase the demand. A fourth factor that could affect the demand in the housing market is homes appreciation.
Part (b)

The supply of homes in the United Kingdom can be affected by different factors. One factor that can affect the supply of homes in the UK is the occurrence of natural disasters. A natural disaster such as an earthquake can destroy thousands of homes which would instantly diminish the supply of homes. A second factor is the UK’s unemployment rate. If the unemployment rate increases more homeowners would make the decision to sell since they could no longer afford to own their homes. This would increase the supply of homes in the UK. A third variable is construction activity. If construction increases the supply of homes in the UK will rise. A fourth factor that could affect the supply of homes is migration. The massive migration of British people into other regions would increase the supply of homes. Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Report Essay Example | Topics and Well Written Essays - 750 words - 6”, n.d.)
Report Essay Example | Topics and Well Written Essays - 750 words - 6. Retrieved from https://studentshare.org/miscellaneous/1552452-report
(Report Essay Example | Topics and Well Written Essays - 750 Words - 6)
Report Essay Example | Topics and Well Written Essays - 750 Words - 6. https://studentshare.org/miscellaneous/1552452-report.
“Report Essay Example | Topics and Well Written Essays - 750 Words - 6”, n.d. https://studentshare.org/miscellaneous/1552452-report.
  • Cited: 0 times

CHECK THESE SAMPLES OF Housing Market in the United Kingdom

An Overview of the UK Housing Market

The lack of availability of funds has caused serious effects in the Housing Market in the United Kingdom.... Before analysing the present situation of the market, it would be ideal to have an overview of the historic developments in the housing market of the united kingdom.... he post recessive period observed critical economic outcomes in the housing industry of united kingdom.... After the downfall of the housing industry in early 1990, there had been a steady growth in the UK housing market....
10 Pages (2500 words) Essay

Impact of Debt on the Housing Market in the United Kingdom

This essay "Impact of Debt on the Housing Market in the United Kingdom" briefly explains the impact of debt on the UK housing market by analyzing the levels of personal debt, rent arrears, a housing association.... t is evident from the table that the borrowing habits in the housing market go on increasing.... Real estate companies are waiting for the market to stabilize in order to sell out their apartments and buildings.... The essay analyses the upward trend of housing prices that may likely continue in 2010....
10 Pages (2500 words) Essay

Mortgage Fraud in the UK

The Housing Market in the United Kingdom is experiencing a boom and fraudsters in the mortgage market.... In conclusion, mortgage fraud is on the increase in the united kingdom and good measures need to be put in place to curb the crime.... ortgages have a long history spanning from the 12th century but have been in common use in the UK housing sector since 1925.... During late 2008 and early 2009, the downturn in the UK economy had a drastic impact on the once strong housing sector with house prices slumping and mortgage approval decisions declining (House Price Crash 2009)....
20 Pages (5000 words) Essay

Lack of Affordable Housing in the United Kingdom

The paper "Lack of Affordable Housing in the united kingdom" highlights that the main purpose of the affordable housing policy is to provide affordable housing to those in need of it.... The policy of affordable housing in the united kingdom has so far not been successful in meeting its goals.... Affordable housing is housing where there is an intervention in the market through public subsidy' (2005, p.... From this assumption, affordable housing should be developed in areas that are more deprived....
8 Pages (2000 words) Coursework

Assess the impact of re-introducing rent control on the market for housing

Relative to a glance on history, instigated rent controls in the united kingdom varied from a straightforward freeze during the world wars to fair rents regimes in the sixties aimed at removing the impact of scarcity in the rental market.... ypically, the regulation of rent in the united kingdom has had vast challenges in the past even with the main objective revolving around ideas such as advocating for affordability.... the united kingdom's housing private has multiple divisions with houses and apartments owned by the private sector and the local authorities; additionally, with developments in the market, housing associations have also become prevalent....
5 Pages (1250 words) Essay

The Impact of Debt on the Housing Market in the United Kingdom

"The Impact of Debt on the Housing Market in the United Kingdom" paper addresses the question of whether or not the debt is always a bad thing specifically in relation to the housing market in the UK with specific reference to levels of personal debt and the role of housing associations.... This section will conclude with a discussion as to what is the impact of personal debt on the housing market....
8 Pages (2000 words) Coursework

The United Kingdom Economic Policies and the Financial Crisis

The proposed policy with regard to dealing with the economic crisis in the united kingdom was based on the implementation of Halls's economic model.... Following the economic crisis that disrupted the economic activities of the united kingdom, many issues were raised based on the country's preparedness concerning dealing with economic issues.... The paper "the united kingdom Economic Policies and the Financial Crisis" is a great example of an assignment on macro and microeconomics....
12 Pages (3000 words) Assignment

Discrimination Women Experience in the UK Housing Market

Discrimination faced by women in housing in the UK2007IntroductionThe Housing Market in the United Kingdom is essentially a property-related issue and issues of gender are typically not considered in this.... However, a large number of women from all Discrimination faced by women in housing in the UK2007IntroductionThe Housing Market in the United Kingdom is essentially a property-related issue and issues of gender are typically not considered in this.... in the united kingdom, urban regeneration policies take race into account to some extent but it does not consider gender at all....
11 Pages (2750 words) Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us