Chapter 4 Economics

The desire, ability, and willingness to buy a product

A change in the quantity of a good demanded because a change in price alters expendable cash

In a __ economy people act in their best interest to determine how to answer questions of __.

The extent of which a change in price causes a change in the quantity demanded

The measure of responsiveness in cause and affect relationships in economics

Over time the ideals consumers hold about products change contributing to shifts in demand

If P starts at $1 and goes to 0.95 and Q starts at 900 and ends at 990 the demand is

In PED the independent variable is

The extra usefulness or satisfaction derived from consuming more units of a product.

Often the quantity demanded of these products is tied together.

Demand is __ when a change in price causes a small change in the quantity demanded

If P starts at $100 and goes to $125 and Q starts at 2m and ends at 1.85m then demand is

When consumers buy a different amount of a product at a fixed price point

__ demand is usually limited to individual demand curves

Two primary reasons consumers may change the quantity demanded of a given product

A graph showing the quantity demanded at all price points.

Demand is __ when a change in price causes a large change in the quantity demanded

The part of economic theory that deals with individual units

This causes a change in demand at ONLY the Market Level

People buy more at all possible prices when __ __ goes up.

__ demand is usually caused by limited substitutes or needs based purchases

Describes what happens when products become more or less popular with consumers.

A change in the quantity of a product demanded is represented by a __ the demand curve.

The extra satisfaction we get from subsequent consumption tends to go down

Change in quantity demanded because of change in the relative price of a product