Untitled Flashcards Set

Economists make a distinction between changes in quantity demanded and changes in demand. To distinguish a movement along a demand curve from a shift of the demand curve

The quantity of a good in a given period increases as the price falls, ceteris paribus. This is known as the law of demand

Ceteris paribus, the law of demand says that? Price and quantity demanded are inversely related.

According to the law of demand, the demand curve? Is downward slopping

Ceteris paribus means? Holding everything else constant

Ceteris paribus which of the following will cause a demand for pizza to increase pizza in a college town? An increase in the number of students who eat pizza.

Which of the following situations is sufficient to represent the current demand for a car? You have enough money to buy it and you are willing to spend the money on the car.

According to the law of demand, a change in  ___ causes a movement along the demand curve. The price of the good.

Ceteris parius, the quantity demand of a good will decrease in response to? A higher price for the good.

To demand a good, the buyer must? Be both willing and able to pay for it.

Ceteris paribus, a change in which of the following would be LEAST likely to cause a shift in the demand curve for jackets? The price of jackets.

A change in demand means there has been a shift in the demand curve, and a change in quantity demanded. Corresponds to a movement along the demand curve.

Which of the following is not a factor of production? Wages.

Ceteris paribus, according to the law of demand, if the price of computer games increases from 25$ to 30$? The quantity demanded of computers will decrease  

The market demand for a particular good indicates? The total quantities buyers are willing and able to purchase at alternative prices, ceteris paribus.

A demand schedule refers to the combination of price and quantity that represents the? Desires of consumers.

If the price goes down on an item, then? The quantity demanded on that item goes up.

If the price of a complement goes down then? The demand for the other complement goes up