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Generally speaking, will increase in process of growth of production manufactured onThe given equipment. Thus, the increase in a volume of output will be
To be combined with a rise in prices independently even from any changes in unit
Wages.
3. In item 2 we have considered possibility not quite elastic Offers. If perfect balance in relative was available Quantities of the specialised not used resources that a point complete them
Uses it would be reached for all of them simultaneously. But generally speaking,
Demand for some services and the goods will reach level, outside of which The offer becomes for the given moment absolutely not elastic, in that Time as in other branches will be still available the big surplus Not used resources. Thus, in process of volume increase Productions will arise one for other the whole series of "bottlenecks", when The offer of commodity items already ceases to be elastic, and their prices Begin to raise to such level what is necessary for demand switching On other goods and services.
The overall price level will not be, possibly, very hardly to grow with increase
Issue until still there are effective not used resources
All kinds. But as soon as the volume of output will increase so that will begin
To arise "bottlenecks" it is possible to expect sharp lifting of the prices for some
The goods.
However, and it is important as for consideration of the given item, and item 2,
Elasticity of the offer partly depends and on size of the considered Time period. If we accept time interval, sufficient for change Quantities of the equipment final elasticity of the offer will be, Certainly, it is much more. Therefore moderate change of effective demand in
Conditions when the considerable quantity of not used resources is available,
Will lead basically to increase in degree of their use and in very
To insignificant measure to a rise in prices. On the contrary, more essential change
Effective demand which, being unforeseen, will lead to occurrence
Of some time "bottlenecks", it will be expressed not so much in degree increase
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