Demand
The Law of demand
What Does not shift the demand curve, but results in a movement ALONG the demand curve to the right?
The Law of Supply
What is as price rises supply increases?
When the demand for a product changes drastically with price
What is elastic
Economist make decisions by comparing these costs to these benefits
What is marginal?
An example of good that becomes more elastic as the time horizon extends.
What is fuel?
An improvement in technology's effect on the demand curve
What has no effect?
What is shift it to the left
When demand for a product is not very affected by price.
What is inelastic?
The value of the next best alternative.
Salt is inelastic for this reason
What is cheap and is bought in bulk?
What will decrease the quantity of roses?
An decrease in the price of milks effect on the price of cheese. (need the e word)
What is lower equilibrium price
When demand for a product is virtually unaffected by price.
Determines the effectiveness of government policies, a reason for doing something
What are incentives?
An illegal result of strict government supply policies.
Black Markets
The price of gasoline decreases
What causes the demand of larger cars to shift to the right?
A closure of a major suppliers effect on the supply curve
What is a shift to the left
The slope of a perfectly inelastic demand curve
What is vertical?
The beginning of rapid economic growth
What is the industrial revolution?
A government policy that may create a shortage in an enemy country. Think Cuba ( 2 answers accepted) 100 bonus points for both.
What are embargos and/or sanctions?
All 6 factors of demand
4 Factors of supply
What are Tech, Inputs, Conditions and Government
The slope intercept equation for a unitary elastic demand curve
What is y=x.
Potentially the most important institution in society to protect in order to foster economic growth. I'll accept two similar answers 100 bonus points for both
What are Rule of Law and Property Rights?
What kinds of goods does the government prefer to tax?
Inelastic ones