2. Flashcards
1
Q
what is a movement along the demand curve ?
A
takes place when a goods price changes
2
Q
what are the conditions of demand (things that shift it left or right)
A
- substitute goods
2.joint demand and complimentary goods - personal income
4.tatse and preferance
5.population size
3
Q
how to calculate PED (price elasicity of demand)
A
% change in q demanded /
% change in price
4
Q
how to calculate yed (income elasisity of demand
A
% change in q demanded /
%change of income
5
Q
how to calculate XED (cross elasity of demand)
A
%change in q of a demanded/
%change in q of b demanded
6
Q
what are factors which may determine PED
A
- substitutes
- percentage of income
- nessesities v luxuries
4.size of market - time
7
Q
A
8
Q
A