Flashcards
Demand 1
Flashcards do conjunto (13)
- 1DemandThe number of units a consumer is willing to buy at various prices
- 2The Law of DemandStates that an increase in price will lead to a decrease in demand and a decrease in price will lead to an increase in demand
- 3Consumer SurplusThe benefit to the consumer due to the difference in what they payed for the good and the amount they were willing to pay rather than to go without the good.
- 4Individual DemandStudies the quantities of a good an individual consumer is willing to buy at each price.
- 5Market/ Aggregate DemandShows the different quantities of a good that all consumers in the market are willing to buy at each price. It is derived by adding all individual demands for the good.
- 6Demand ScheduleA table that shows different quantities for a good at various different prices
- 7Individual Demand ScheduleA table that lists the different quantities of a good an individual consumer is willing to buy at each prices
- 8Market/ Aggregate Demand ScheduleA list of the different quantities all consumers in the market are willing to buy at each price. It is derived by adding all individual demand schedules together.
- 9A Shift in the Demand CurveIs caused by a non-price determent of demand
- 10Movement Along the Demand CurveIs caused by change in the price of a good itself
- 11Complimentary GoodsGoods that are used jointly, the use of one required the use of the other. Ex: bread and butter.
- 12Substitute GoodsGoods that satisfy the same needs therefore can be seen as alternatives to each other. Ex: Milk
- 13Demand FormulaDx=f (Px, Pog, Y, E, T, U, G)