Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Micro- Economics > Supply And Demand > Flashcards

Supply And Demand Flashcards

1
Q

Define effective demand

A

Consumers must be both willing and able to purchase goods and services

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What is a movement

A

Change in line due to response to change in price

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

What does an extension in the demand curve represent

A

Increase in quantity demanded as a result of price decrease

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

What is a movement in demand

A

Movement along the demand curve due to show how quantity responded to price

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

What is a contraction in demand?

A

Decrease in quantity demanded as a result of increase in price

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What happens to the demand curve when there is an increase in price

A

Contraction

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

What happens to the demand curve when there is an decrease in price

A

Extension

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

What is a shift

A

Shows how demand responds to a change in non price factors

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

What does a shift to the left mean

A

Decrease in quantity

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

What does a shift to the right mean

A

Increase

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

What way does a graph shift when there is an increase

A

To the right

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

What way does the graph shift when there is a decrease

A

Left

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

What is derived demands

A

Depends upon the demand for something else

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Give an example of a derived demand

A

Labour depends on demands for goods and services

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

What is the demand that depends upon the demand for something else

A

Derived demand

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

What is joint demand

A

Goods that are bought together

17
Q

Give and example of a joint demand

A

PS4 and controller

18
Q

What type of demand is demand of both goods with another

A

Joint demand

19
Q

What is competitive demand

A

Compete with each other to provide the same function

20
Q

Give an example of competitive demand

A

Coke and Pepsi

21
Q

What are composite demands?

A

Goods that can fulfil multiple functions

22
Q

Give an example of a composite demand

A

Water

23
Q

How does consumer preference affect demand

A

Increase in popularity
More demand due to fashion or trend
At any given price more is demanded

24
Q

How does price of substitutes affect demand

A

Direct alternative effect

Price increase for substitutes op

Micro- Economics (3 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions