analysis of demand

Question 1

where buyers and supplier, sellers meet

Answer 1

market

Question 2

value of goods and services usually expressed in monetary terms

Answer 2

price

Question 3

very important as it helps in allocation of goods and services

Answer 3

price system

Question 4

schedule of various quantities of commodities which buyers are willing and able to purchase at a given time

Answer 4

demand

Question 5

quantity of goofs and services that people are ready to buy

Answer 5

demand

Question 6

demand factors (5)

Answer 6

• income
• population
• tastes and preference
• price expectation
• price of related goods

Question 7

people buy more when income increases

Answer 7

income

Question 8

more people means more demand for goods and services

more consumers in urban than rural

Answer 8

population

Question 9

demand for goods and services increases when people like or prefer them

Answer 9

taste and preferences

Question 10

when people expect prices of goods to increase tomorrow, they buy more of these goods

Answer 10

price expectations

Question 11

when the price of a certain product increases, people tend to buy a substitute product

Answer 11

price of related goods

Question 12

consumers are most likely to buy more goods and services when price decreases, and buy less when price increases

Answer 12

law of demand

Question 13

at lower prices, an individual has greater purchasing power

Answer 13

income effect

Question 14

consumers tend to buy goods w/ lower prices

Answer 14

substitution effect

Question 15

graphical representation showing the relationship between price and quantity demanded per period

Answer 15

demand curve

Question 16

schedule of various quantities of commodities which producers are willing and able to produce at a given period

Answer 16

supply

Question 17

supply determinants

Answer 17

technology
cost of production
number of sellers
price of other goods

Question 18

techniques and methods of production

Answer 18

technology

Question 19

uses modern technology increases supply of goods

Answer 19

technology

Question 20

uses animals and people and very slow in producing goods

Answer 20

primitive technology

Question 21

if the price of raw materials/salaries increase, it means higher cost of production

Answer 21

cost of production

Question 22

more sellers or factories means an increase in supply

Answer 22

number of sellers

Question 23

changes in the price of goods affect the supply of such goods

Answer 23

price of other goods

Question 24

as price increases, quantity supply also increases

Answer 24

law of supply

Question 25

graphical representation showing relationship between the price of the product of production and quantity supplied per period

Answer 25

supply curve