Demand Flashcards
What is Demand?
Demand is a desire backed with the ability to pay. Otherwise it’s a want.
What is the definition of Demand
Demand is the quantity of a good or service that consumers are both willing and able to buy at any given price over a period of time.
What is willing and able mean?
Willing is you want to have it and able- you have the money to purchase it. You will use the money to purchase it. Willing is a want, willing+able is a demand.
What is the definition of a Demand Schedule
A table that sets out the quantity of a good or service that a consumer is wiling and able to buy at a range of prices within a given time frame.
What is the definition of Law of Demand
An increase in the price of a good or service will result in a decrease in the quantity demanded or vice versa assuming Ceteris Paribus.
What is the definition of Ceteris Paribus
All other factors apart from one stay the same.
What is a Demand Curve?
A graph showing the quantity of a good or service that consumers are both willing and able to buy at any given price over a certain period of time.
