Curtis Barnes
February 4, 2014
Microeconomics

For a healthy economy, it is important that the producers of a product consider the consumers’ willingness to buy. When consumers choose a product they look for purpose. They try to get the most out of the product that they have purchased. They try to choose the product that best suits their desires and budget. They look for what is worth their money. Produces should take advantage of consumers economizing behavior. This is what gives consumers decision making which can be purposeful or rational. When making the decision the consumer will choose the cheapest item that benefits them.
As long as the producers have products available at an affordable price and have purpose consumers will buy them. When confronted with two items the consumers usually make a marginal decision. This means they make a choice according to the difference of the items be it low prices or benefits between the items. The consumer will choose what best benefits them. Changes in the incentives can dictate the choices the consumers make. For example supply and demand, if the supply is high the demand will be low because there are plenty of the supplies.
When the supply is low it gives producers a chance to raise prices, because the demand for the product will be high due to its limited resource. There are a lot of contributing factors that can control or dictate consumers buying product. Depending on the quality of the product a consumer is willing to pay top dollar to have or see. Most producers will take advantage of this and use it to get money to stimulate their budget and the