Supply and Demand

Question 1

Demand

Answer 1

The amount a consumer is willing and able to buy at any given price.

Question 2

The law of demand

Answer 2

The higher the price, the lower the quantity demanded.

Question 3

Supply

Answer 3

The amount a supplier is willing and able to supply at a given price at a given time.

Question 4

Equilibrium

Answer 4

The point at which demand and supply meet.

Question 5

Factors that cause the demand curve to shift in business

Answer 5

FLAPS

Question 6

FLAPS

Answer 6

Fashion
Legislation
Advertising
Population
Speculation

Question 7

Factors that cause the supply curve to shift in business

Answer 7

SCENIC WL

Question 8

SCENIC WL

Answer 8

Substitutes
Complements
Expansion of other firms
Number of firms
Introduction of new technology
Costs of production
Weather
Legislation

Question 9

How can a business make demand for their goods more price inelastic?

Answer 9

Increase brand value
Encourage customer loyalty
Reduce competition in the market

Question 10

Price elasticity of demand

Answer 10

The responsiveness of demand to a change in price.

Question 11

Inferior good

Answer 11

A good that has negative income elasticity of demand.