ECHIVERRI,JMIV

MA URBAN REGIONAL PLANNING

PLAN 232 LAND ECONOMICS

Demand is associated with wants or needs. This is also a requirement for land resource. Land is fixed in
supply, where it can respond to demand depending on how the supplied land was transformed. Also,
because land is fixed, to be able to create new land as supply is impossible.

The relation of demand & supply in Land Economics is it concerns with “man’s economic use of the
surface resources of the earth and the physical and biological, economic, and institutional factors that
affect condition, and control of his resources” (Barlowe, 1987)

Demand for Land

Demand is the consumer’s ability to purchase or consume any item or good, on this discussion the
ability of a consumer to purchase land in processed form. Land Demand refers to the processed land
that consumers are willing to buy at a certain price. However, Barlowe (1978) pointed out that few
people wanted real estate for its own sake; rather man demand for land mostly because of the products
can produce to secure his survival. This makes demand for land a derived demand as it serves as an
intermediate good to man’s ultimate demand for crops, shelter, space for employment, recreation and
business

A movement in demand upward or towards right is an increase in demand. A movement downwards or

left is a decrease. Depending on inward or outward shift, there is change in quantity & price.

This indicates the existence of an inverse relationship between the price of the item or good and the
quantity demanded by consumers. The determinants of demand are factors that cause fluctuations in the
economic demand for a product or a service. “A shift in demand curve occurs when the curve moves,
which can lead to a change in quantity demanded & the price.”

REFERENCES:

Determinants of Demand.https://www.intelligenteconomist.com/determinants-of-demand/. Retrieved

Sept. 09,2019
Determinants of Demand.https://staffwww.fullcoll.edu/fchan/Micro/1determinants_of_demand.htm.
Retrieved Sept. 09,2019
Five Determinants of Demand with examples & formulas. https://www.thebalance.com/five-
determinants-of-demand-with-examples-and-formula-3305706. Retrieved Sept. 09,2019
Determinants of Land Demand

Income

If there is an increase on consumer’s income, there is an increase in demand.

The capacity to purchase a property which is a land output is a consumer power. Lands that are made
into Parking Buildings serves as a stand-alone structure or also as a support structure that provides the
condominium tenants their respective car slots. The need for vehicle ownership had affected the price
of vehicles, and in order for these companies to sell these vehicles; they are able to make their prices be
affordable especially for the working class, prices that fits their income. Condominium ownership

Change in Preference or Taste

“Favorable change leads to an increase in demand, unfavorable change lead to a decrease.”

Price of Good & Services

The law of demand states that where price rises, the quantity of demand falls. People by nature, base
their purchase by price.

Prices of related Goods or Services

Complementary products or services.

Expectations
“Expectations of a higher income or expecting an increase in prices of goods will lead to an increase the
quantity demanded. Similarly, expectations of a reduced income or a lowering in prices of goods will
decrease the quantity demanded.”

REFERENCES:

Determinants of Demand.https://www.intelligenteconomist.com/determinants-of-demand/. Retrieved

Sept. 09,2019
Determinants of Demand.https://staffwww.fullcoll.edu/fchan/Micro/1determinants_of_demand.htm.
Retrieved Sept. 09,2019
Five Determinants of Demand with examples & formulas. https://www.thebalance.com/five-
determinants-of-demand-with-examples-and-formula-3305706. Retrieved Sept. 09,2019