Congestion
Ie: social media ________ effect: If more people buy a product, your demand for it decreases.
Network effect
________: If more people buy a product, your demand for it increases.
Individual Demand
________: Law of Demand: When the price rises, Qd decreases.
Market Demand
Aggregating all of the demand (for a single market)
Individual Demand Curve
Graph plotting the quantity of an item someone is willing to buy at each price
Estimating Market Demand
Survey a small part of your customers Add up the total quantity Apply that to the population Plot it
Network effect
If more people buy a product, your demand for it increases
Law of supply
the higher the price, the higher the quantity supplied
benefit
how much pleasure you gain from something
price
Benefit is very similar but NOT the same as ________.
opportunity cost
The highest valued alternative that must be given up to get something.