2.1 demand

Question 1

demand

Answer 1

quantity of goods/services consumers are willing and able to buy at different price points, ceteris paribus

Question 2

law of demand

Answer 2

there is a negative casual relationship between price and quantity demanded (e.g. as price for a good increases, the quantity demanded falls, ceteris paribus)

Question 3

individual demand

Answer 3

demand schedule for any individuals

Question 4

market demand

Answer 4

the sum of all the individual demands for a good

Question 5

price determinant affects what + effect on diagram

Answer 5

change the quantity demanded

movement along the demand curve

Question 6

non-price determinant affects what + effect on diagram

Answer 6

demand

shift of the demand curve

Question 7

“bananas expected to become more expensive in 2 months”

what is the non-price factor illustrated in this example?

Answer 7

price expectation

Question 8

non-price determinants of demand [5]

Answer 8

1) income (normal and inferior goods)

2) substitutes and complements

3) tastes and preferences

4) population change / demographic change

5) future price expectations