ch 5 and 4 test

characteristics of demand

wilking buyers and abke buyers to buy iver a range of prices

difference between change in demand and change in quantity demanded

shifts whole graph with chabge ib demand. chabge in quantity demanded is movement along the curve

what is a compliment

somehting like coffe goes with donuts

a substitute

goodbused in place ofnothers such as using oil instead of butter becayse of the price

diminishing marginal utiltity

newness wears out

elastic

a chabge in price changes the wuantity demanded of something

in elastic

the chabge of orice in a product wont effect much quantity sold

law of demand

states that the quantity demanded varies inversely with price

Law of supply

increase in price is increase in quantity

marginal

extra

fixed cost

cost that doesnt chnage

variabke cost

when prodyction goes up price goes up

raw materials

part of variable cost

totak revubue

all tevenure added up

marginal revenue

extra money