Demand For Goods/services

Question 1

Demand meaning?

Answer 1

Quantity of goods/services that purchases are able to buy at a given price/time.

Question 2

Draw a demand curve of price and demand

Answer 2

1)no curve just straight line

2) price on x-axis(up)

3)Demand on y-axis(bottom)

Question 3

What happens to demand when price increases?

Answer 3

Demand decreases

Question 4

Why does demand decrease when prices increase

Answer 4

Higher prices leads to a contraction(smaller amount) of the products demand.

Question 5

Expansion meaning?

Answer 5

Increase in demand

Question 6

Contraction meaning

Answer 6

Decrease in demand

Question 7

List what Causes, shifts in a demand curve

Answer 7

1)similar goods/services change price

2)change in income of consumers
E.g income decrease=demand decrease

3)change in distribution of income
E.g more equal income=increase demand

4)affects of advertising/marketing

5) trends

Question 8

Outward push causes?

Answer 8

1)higher productivity

2)Better management of factories

3)Increase in stock

4)innovation of new products

Question 9

Outward push meaning?

Answer 9

Increase in the production possibility frontier.
(Demand curve-graph)

Question 10

Causes of inward push(bad)

Answer 10

1)less productivity

2) bad management in factories

3)decrease in stock

Question 11

Inward push meaning?

Answer 11

Decrease in the production possibility frontier(FFS)
(GRAPH-DEAMDN CURVE)