Podcast
Questions and Answers
What is the relationship between the price of a commodity and the quantity demanded?
What is the relationship between the price of a commodity and the quantity demanded?
- Inverse or opposite (correct)
- Constant or unchanged
- Direct or positive
- Uncertain or unpredictable
What type of goods have a demand curve with a negative slope?
What type of goods have a demand curve with a negative slope?
- Normal goods (correct)
- Prestigious goods
- Luxury goods
- Essential goods
What is measured on the horizontal axis of a demand curve?
What is measured on the horizontal axis of a demand curve?
- Price
- Quantity supplied
- Time period
- Quantity demanded (correct)
What is a necessary condition for demand to exist?
What is a necessary condition for demand to exist?
What is a demand schedule?
What is a demand schedule?
What is the difference between demand and quantity demanded?
What is the difference between demand and quantity demanded?
What type of goods are staple foods an example of?
What type of goods are staple foods an example of?
What happens to the quantity demanded of normal goods when their prices increase?
What happens to the quantity demanded of normal goods when their prices increase?
What is the shape of the demand curve for normal goods?
What is the shape of the demand curve for normal goods?
What determines the quantity demanded of a commodity?
What determines the quantity demanded of a commodity?
What is the time period referred to in the definition of demand?
What is the time period referred to in the definition of demand?
What is derived from a demand schedule?
What is derived from a demand schedule?
What is a characteristic of inferior goods, including Giffen goods?
What is a characteristic of inferior goods, including Giffen goods?
Why does the demand for a Giffen good increase when its price increases?
Why does the demand for a Giffen good increase when its price increases?
What is true about all Giffen goods?
What is true about all Giffen goods?
What do determinants of demand refer to?
What do determinants of demand refer to?
What is the purpose of a demand function?
What is the purpose of a demand function?
What is the shape of the demand curve for a Giffen good?
What is the shape of the demand curve for a Giffen good?
What is the effect of an increase in the price of a normal good on the quantity demanded?
What is the effect of an increase in the price of a normal good on the quantity demanded?
What is the effect of an increase in the price of a substitute good on the quantity demanded of the other good?
What is the effect of an increase in the price of a substitute good on the quantity demanded of the other good?
What happens to the quantity demanded when the income of the consumer increases?
What happens to the quantity demanded when the income of the consumer increases?
What is the effect of an increase in the price of a related commodity that is a complement on the quantity demanded of the other good?
What is the effect of an increase in the price of a related commodity that is a complement on the quantity demanded of the other good?
What is the effect of an increase in the price of a Giffen good on the quantity demanded?
What is the effect of an increase in the price of a Giffen good on the quantity demanded?
What is the term for commodities that are substituted one for the other?
What is the term for commodities that are substituted one for the other?
What is the total market demand at a price of k90?
What is the total market demand at a price of k90?
What is the nature of the market demand curve compared to individual demand curves?
What is the nature of the market demand curve compared to individual demand curves?
How do you obtain the market demand curve?
How do you obtain the market demand curve?
What is the demand of consumer A at a price of k80?
What is the demand of consumer A at a price of k80?
What is the demand of consumer B at a price of k60?
What is the demand of consumer B at a price of k60?
Flashcards
Relationship between price and quantity demanded (inverse)
Relationship between price and quantity demanded (inverse)
As the price of a commodity rises, the quantity demanded falls, and vice versa.
Demand curve slope (normal goods)
Demand curve slope (normal goods)
The demand curve for normal goods slopes downward.
Horizontal axis of demand curve
Horizontal axis of demand curve
Quantity demanded is graphed on the horizontal axis of a demand curve.
Necessary condition for demand
Necessary condition for demand
Signup and view all the flashcards
Demand schedule
Demand schedule
Signup and view all the flashcards
Difference between demand and quantity demanded
Difference between demand and quantity demanded
Signup and view all the flashcards
Example of Giffen goods
Example of Giffen goods
Signup and view all the flashcards
Normal good price increase effect
Normal good price increase effect
Signup and view all the flashcards
Demand curve shape (normal goods)
Demand curve shape (normal goods)
Signup and view all the flashcards
Quantity demanded determinants
Quantity demanded determinants
Signup and view all the flashcards
Demand time period
Demand time period
Signup and view all the flashcards
Demand curve source
Demand curve source
Signup and view all the flashcards
Inferior good characteristic
Inferior good characteristic
Signup and view all the flashcards
Giffen good price increase reason
Giffen good price increase reason
Signup and view all the flashcards
Giffen good characteristic (all)
Giffen good characteristic (all)
Signup and view all the flashcards
Determinants of demand
Determinants of demand
Signup and view all the flashcards
Demand function purpose
Demand function purpose
Signup and view all the flashcards
Demand curve shape (Giffen good)
Demand curve shape (Giffen good)
Signup and view all the flashcards
Normal good price increase effect
Normal good price increase effect
Signup and view all the flashcards
Substitute good price increase effect
Substitute good price increase effect
Signup and view all the flashcards
Consumer income increase effect
Consumer income increase effect
Signup and view all the flashcards
Complementary good price increase effect
Complementary good price increase effect
Signup and view all the flashcards
Giffen good price increase effect
Giffen good price increase effect
Signup and view all the flashcards
Substitute goods definition
Substitute goods definition
Signup and view all the flashcards
Market demand at k90 price
Market demand at k90 price
Signup and view all the flashcards
Market demand curve vs individual
Market demand curve vs individual
Signup and view all the flashcards
How to get market demand curve
How to get market demand curve
Signup and view all the flashcards
Consumer A demand at k80
Consumer A demand at k80
Signup and view all the flashcards
Consumer B demand at k60
Consumer B demand at k60
Signup and view all the flashcards