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what is a demand curve?

A demand curve shows how much of a good consumers are willing to buy at different prices, if their income, preferences and other things were constant

what does ceteris paribus mean?

Ceteris paribus mean "other things equal"

Demand curve shows the relationship between ______ and ______

Demand curve shows the relationship between price and relationship holding other things constant

What can cause a demand curve shift?

A demand curve shift can be causes by a change in income, tastes and price of related goods

What happens to the demand curve if all other things were not held constant?

The demand curve would shift

What are the factors that cause a shift to the demand curve?

A change in the price of related goods, a change in income, a change in taste and a change in expectations will cause the demand curve to shift

An increase in consumer income will increase the demand for which type of goods?

normal goods

A increase in consumer income will decrease the demand for which type of goods?

inferior goods

A recent study found that an increase in the Federal tax on beer (and thus an increase in the price of beer)would reduce the demand for marijuana. what conclusion can we derive from this statement

beer and marijuana are substitute goods

In the past few years, the demand for donuts has greatly increased. This increase in demand might best be explained by

a change in buyer taste

How will an increase in the price of A affect the demand for B?

An increase in the price of product A will increase the demand for substitute product B

The demand curve for a product might shift as the result of a change in

consumer taste, consumer income and the prices of related goods

what would happen if the demand for a normal good shifted to the left?

The consumer income must have fallen

what will happen to the demand for product X if the consumer income increase

It may shift either to the right or left

what is a normal good?

A normal good is one that the consumption of which varies directly with incomes.

which goods' demand varies directly with changes in consumer income

normal goods

Assume the demand curve for product X shifts to the right. This might be caused by

a decline in income if X is an inferior good

Cameras and film are _____ goods

complementary goods

Tennis rackets and ballpoint pens are what type of goods

independent goods

Other things equal, what might shift the demand curve for gasoline to the left

the development of a low-cost electric automobile

If Z is an inferior good, a decrease in money income will shift the

demand curve for Z to the right

If X is a normal good, a rise in money income will shift the

demand curve for X to the right

If L and M are complementary goods, an increase in the price of L will result in

a decrease in the sales of M

How can a shift to the right in the demand curve for product A be explained

consumer preferences have changed in favor of A so that they now want to buy more at each possible price

Give an example of an inferior good

used clothing

If the price of K declines, the demand curve for the complementary product J will

shift to the right

If the price of product L increases, the demand curve for close-substitute product J will

shift to the right

If the demand curve for product B shifts to the right as the price of product A declines, then A and B are ______

complementary goods

A rightward shift in the demand curve for product C might be caused by

a decrease in the price of a product that is complementary to C

If two goods are complements how will the decrease in the price of one affect the other

a decrease in the price of one will increase the demand for the other

what is meant when demand increases?

It means that the quantity demanded at each price in a set of prices is greater

what is a demand curve?

In economics, the demand curve is the graph depicting the relationship between the price of a certain commodity and the amount of it that consumers are willing and able to purchase at any given price. It is a graphic representation of a demand schedule.

The demand curve shows the relationship between

price and quantity demanded

what does the law of demand state?

price and quantity demanded are inversely related

Economists use the term demand to refer to

a schedule of various combinations of market prices and amounts demanded