General Questions
Change in qty demand
Change in demand
Graphing Demand
Normal vs. Inferior
100

Who are consumers?

You or anyone else who purchases a good or service.

100
What causes change in qty demand?
Change in price
100
What causes a change in demand?
consumer income, consumer tastes, substitutes, complements, expectations, and number of consumers.
100

Every Demand Graph has a ___ slope.

Downwards

100

What would be an inferior product to buying a car?

Taking the bus or any form of public transportation

200
What is demand?
Combination of desire, ability, and willingness to buy a product .
200
What is change in qty demand?
a change that is graphically represented as a movement along the demand curve
200
What is change in demand?
Shift of the demand curve when people buy different amounts at every price.
200

There has been an Increase in demand for Toasters. In what way does the graph shift?

Right

200
What are Inferior goods?

Low-Cost replacements of goods or services that most people would consider "lower quality".

300

What is the law of demand?

As price increases, quantity demanded decreases. As price decreases, quantity demand increases.

300
What is the substitution effect?
the change in qty demanded because of the change in the relative price of the product .
300
An increase in income means people can to do what?
afford to buy more at all possible prices
300

There has been a decrease in Demand for Apple products. In which way does the Graph shift?

Left

300

As income increases, demand for Normal goods ___.

Increases

400

What are Substitutes and Compliments?

Substitutes are products that can easily replace each other. Compliments are products that are used in conjunction with another product.

400
What is income effect?
the change in qty demanded because of the change in price that alters consumers real income .
400
When a product is successfully advertised, its popularity increases or decreases?
Increases
400

What is the difference between changes in demand and changes in quantity demanded graphically?

A change in demand from a non-price factor shifts the entire curve to the right or left.

400

As income increases, demand for Inferior goods ___.

Decreases.

500

What does a demand schedule show?

the various quantities demanded of a particular product at all possible prices.

500
When the price of product drops, comsumers pay more or less ?
Less
500
A change in income,tastes,and prices of related products affects what ?
Individual demand schedules and curves.
500

How does the number of buyers affect the demand curve?

An increase of buyers means an increase of demand. A decrease of buyers means a decrease in demand.

500

When the price of a luxury good rises, the demand for this type of good might not be affected, as it is considered a basic necessity for consumers.

Normal goods

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