Tutorial 2 Flashcards
1
Q
Supply Curve
A
Supply Curve- a curve or schedule showing the quantity of a good that sellers wish to sell at each price.
2
Q
Change in supply
A
- Change in Supply: Shift of the entire supply curve that occurs in response to a change in an external factor.
3
Q
Change in the quantity supplied
A
- Change in the quantity supplied: a movement along the supply curve that occurs in response to a change in price of the good.
4
Q
Draw a simple supply curve
A
Check OneNote
5
Q
Draw a simple demand curve
A
Graph 2 on OneNote
6
Q
If there is an increase in income, what happens to the demand of a normal good?
A
It shifts to the right (increases)
7
Q
If there is an increase in income, what happens to the demand of a inferior good?
A
Demand shifts to the left (decreases)
