Demand

Question 1

What is Demand?

Answer 1

A demand is a desire backed with the ability to pay.

Question 2

What is the definition of demand?

Answer 2

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!

Question 3

What is willing and able?

Answer 3

Willing; you want to buy it.
Able;you have the means (money) to buy it.
(You must do both for demand to occur!)

Question 4

What is a demand schedule?

Answer 4

A table that sets out the quantity of a good or service that a consumer is willing and able to buy at a range of prices within a given time frame

Question 5

What is a demand curve?

Answer 5

A graph that sets out the quantity of a good or service that a consumer is willing and able to buy at a range of prices within a given time frame

Question 6

What is the law of demand?

Answer 6

States that an increase in the price of a good will result in a decrease in the quantity demanded or vice versa assuming ceteris Paribus

Question 7

What is Ceteris Paribus?

Answer 7

The term all factors (apart from one) remain the same.