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{{infobox4
'''Domestic [[demand]]''' - (also '''internal demand''') an economic term that refers to the total quantity of [[money]] that is spent on products and services by the '''firms''', '''people''' and '''[[government]]''' within a specific country, or that would be spent if the services [[industry]] and manufactures were accessible . [[Demand]] from within a particular country, not from abroad.
|list1=
* Final domestic demand is private consumption plus gross fixed [[investment]] plus government consumption. Total domestic demand is the final domestic demand plus stock building.
<ul>
* Every now and then economists and scientists pertain to total final expending. This is the final domestic demand plus exports of manufactures and services (G.Tsagkarakis, 2015).
<li>[[Cost inflation]]</li>
<li>[[Inflation import]]</li>
<li>[[Over-valued currency]]</li>
<li>[[Economic factor]]</li>
<li>[[Globalization]]</li>
<li>[[Global demand]]</li>
<li>[[David Ricardo]]</li>
<li>[[Currency Convertibility]]</li>
<li>[[Centrally planned economy]]</li>
</ul>
}}


{{infobox4
==Factors impact upon demand==
|list1=
The demand for home goods depends on three dimensions. The first one is world consumption, which affects not only the scale of external demand for home produce but for that matter domestic demand and consumption. The other variable is the world relative [[price]] of home manufactures. This valuation affects foreign [[demand]] for home manufactures and it can affect the domestic demand, depending on the real rate of exchange, which is the third factor. Note that, given the world relative price of home commodities, the real exchange rate may reduce or increase (R. Chang, Mr. L.A.V. Catão 2010, pages 18 and 19).
<ul>
<li>[[Negative demand]]</li>
<li>[[Effective demand]]</li>
<li>[[Types of supply]]</li>
<li>[[Economics]]</li>
<li>[[Aggregate demand ]]</li>
<li>[[Revenue reserve]]</li>
<li>[[Demand]]</li>
<li>[[Inflation import]]</li>
<li>[[Global demand]]</li>
</ul>
}}


'''Domestic [[demand]]''' – (also '''internal demand''') an economic term that refers to the total quantity of [[money]] that is spent on products  and services by the  '''firms''', '''people''' and '''[[government]]''' within a specific country, or that would be spent if the services [[industry]]  and manufactures  were accessible . [[Demand]] from within a particular country, not from abroad.
==The negative impact of a expansion in export merchandise prices==
* Final domestic demand is private consumption plus gross fixed investment plus government consumption. Total domestic demand is the final domestic demand plus stock building.  
The surge in export incoming is spent chiefly on nontradable manufactures resulting in increased domestic [[demand]], an appreciation of the real rate of exchange and an aggravation in the finances of the tradable sector (except for the segment enjoying the price surge).
* Every now and then economists and scientists pertain  to total final expending. This is the final domestic demand plus exports of manufactures and services (G.Tsagkarakis, 2015).
Notwithstanding, in the case of intensified government operations, the [[resource]] of increased domestic demand is internal and leads to a loss is domestic '''retrenchments''' and higher domestic rate of [[interest]] ; the resulting inflow of short-range capital is an additional source of nervousness for the economy (E.Kalter, A.P. Ribas 1999 page 7).


== Factors impact upon demand==
{{infobox5|list1={{i5link|a=[[Over-valued currency]]}} &mdash; {{i5link|a=[[Inflation import]]}} &mdash; {{i5link|a=[[Cost inflation]]}} &mdash; {{i5link|a=[[Economic factors affecting business]]}} &mdash; {{i5link|a=[[Closed economy]]}} &mdash; {{i5link|a=[[Global demand]]}} &mdash; {{i5link|a=[[Government expenditure]]}} &mdash; {{i5link|a=[[Economic factor]]}} &mdash; {{i5link|a=[[Globalization]]}} }}
The demand for home goods depends on three dimensions.  The first one is world consumption, which affects not only the scale of external demand for home produce but for that matter  domestic demand and consumption. The other  variable is the world relative [[price]] of home manufactures. This valuation affects foreign [[demand]] for home manufactures  and it can  affect the domestic demand, depending on the real rate of exchange, which is the third factor. Note that, given the world relative price of home commodities, the real exchange rate may reduce or increase (R. Chang, Mr. L.A.V. Catão 2010, pages 18 and 19).
 
== The negative impact of a expansion in export merchandise prices ==
The surge  in export incoming is spent chiefly on nontradable manufactures resulting in increased domestic [[demand]], an appreciation of the real rate of exchange and an aggravation in the finances of the tradable sector (except for  the segment  enjoying the price surge).
Notwithstanding, in the case of intensified government operations, the [[resource]] of increased domestic demand is internal and leads to a loss  is domestic '''retrenchments''' and higher domestic rate of interest ; the resulting inflow of  short-range capital is an additional source of nervousness for the economy (E.Kalter, A.P. Ribas 1999 page 7).


==References==
==References==
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* Clark P. B., Bayoumi T., Bartolini L., (1994), ''[https://books.google.pl/books?id=9e48srCogD4C&printsec=frontcover&hl=pl&source=gbs_ge_summary_r&cad=0#v=onepage&q&f=false Exchange Rates and Economic Fundamentals: A Framework for Analysis]'', International Monetary Fund
* Clark P. B., Bayoumi T., Bartolini L., (1994), ''[https://books.google.pl/books?id=9e48srCogD4C&printsec=frontcover&hl=pl&source=gbs_ge_summary_r&cad=0#v=onepage&q&f=false Exchange Rates and Economic Fundamentals: A Framework for Analysis]'', International Monetary Fund
* Kalter E., Ribas A. P. (1999) ''[https://books.google.pl/books?id=bMgT30SkkKcC&printsec=frontcover&hl=pl&source=gbs_ge_summary_r&cad=0#v=onepage&q&f=false The 1994 Mexican Economic Crisis: The Role of Government Expenditure and Relative Prices ]'', International Monetary Fund, Buenos Aires
* Kalter E., Ribas A. P. (1999) ''[https://books.google.pl/books?id=bMgT30SkkKcC&printsec=frontcover&hl=pl&source=gbs_ge_summary_r&cad=0#v=onepage&q&f=false The 1994 Mexican Economic Crisis: The Role of Government Expenditure and Relative Prices ]'', International Monetary Fund, Buenos Aires
* Soares Esteves P., Rua A. (2013), ''[https://books.google.pl/books?id=9d_NvQEACAAJ&dq=domestic+demand&hl=pl&sa=X&ved=0ahUKEwj5kaLm7IvmAhWJyKYKHSSZB344ChDoAQh4MAg Is There a Role for Domestic Demand Pressure on Export Performance?]'', European Central Bank
* Soares Esteves P., Rua A. (2013), ''[https://books.google.pl/books?id=9d_NvQEACAAJ&dq=domestic+demand&hl=pl&sa=X&ved=0ahUKEwj5kaLm7IvmAhWJyKYKHSSZB344ChDoAQh4MAg Is There a Role for Domestic Demand Pressure on Export Performance?]'', European Central Bank
* Tsagkarakis G. (2015), ''[https://books.google.pl/books?id=sqD5vgEACAAJ&dq=domestic+demand&hl=pl&sa=X&ved=0ahUKEwjm88b18IvmAhXlwsQBHZIJCws4HhDoAQhvMAc Domestic Demand and Network Management in a User-inclusive Electrical Load Modelling Framework]'', University of Edinburgh, Edinburgh
* Tsagkarakis G. (2015), ''[https://books.google.pl/books?id=sqD5vgEACAAJ&dq=domestic+demand&hl=pl&sa=X&ved=0ahUKEwjm88b18IvmAhXlwsQBHZIJCws4HhDoAQhvMAc Domestic Demand and Network Management in a User-inclusive Electrical Load Modelling Framework]'', University of Edinburgh, Edinburgh


{{a|Edyta Pach}}
{{a|Edyta Pach}}
[[Category:Economics]]
[[Category:Economics]]

Latest revision as of 09:18, 18 November 2023

Domestic demand - (also internal demand) an economic term that refers to the total quantity of money that is spent on products and services by the firms, people and government within a specific country, or that would be spent if the services industry and manufactures were accessible . Demand from within a particular country, not from abroad.

  • Final domestic demand is private consumption plus gross fixed investment plus government consumption. Total domestic demand is the final domestic demand plus stock building.
  • Every now and then economists and scientists pertain to total final expending. This is the final domestic demand plus exports of manufactures and services (G.Tsagkarakis, 2015).

Factors impact upon demand

The demand for home goods depends on three dimensions. The first one is world consumption, which affects not only the scale of external demand for home produce but for that matter domestic demand and consumption. The other variable is the world relative price of home manufactures. This valuation affects foreign demand for home manufactures and it can affect the domestic demand, depending on the real rate of exchange, which is the third factor. Note that, given the world relative price of home commodities, the real exchange rate may reduce or increase (R. Chang, Mr. L.A.V. Catão 2010, pages 18 and 19).

The negative impact of a expansion in export merchandise prices

The surge in export incoming is spent chiefly on nontradable manufactures resulting in increased domestic demand, an appreciation of the real rate of exchange and an aggravation in the finances of the tradable sector (except for the segment enjoying the price surge). Notwithstanding, in the case of intensified government operations, the resource of increased domestic demand is internal and leads to a loss is domestic retrenchments and higher domestic rate of interest ; the resulting inflow of short-range capital is an additional source of nervousness for the economy (E.Kalter, A.P. Ribas 1999 page 7).


Domestic demand — recommended articles
Over-valued currency — Inflation import — Cost inflation — Economic factors affecting business — Closed economy — Global demand — Government expenditure — Economic factor — Globalization

References

Author: Edyta Pach

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