week 3 n week 4

Question 1

Quantity demanded?

Answer 1

quantity demanded is the amount that the consumer willing to buy

Question 2

Law of demand?

Answer 2

the law of demand says that when price increases demand decreases. negative relationship

Question 3

What is Demand curve shifters?

Answer 3

1. income
2. price of related goods
3. Taste
4. expectation
   a decrease in any of the shifters, shift the demand curve to the left, increase of any shifter, shift the demand curve to the right

Question 4

quantity supplied?

Answer 4

is the amount of good that sellers willing to sell

Question 5

law of supply?

Answer 5

law of supply states that an increase in price will increase the amount of supply of that particular good. positively related

Question 6

what are supply curve shifters?

Answer 6

1. input prices eg. wages, price of raw material
2. expectation, the expectation of future price
3. technology, improve of technology increase supply
4. number of sellers,

Question 7

to analyze market three things to consider

Answer 7

1. determine whether it shift the demand or supply curve
2. in what direction it shifts
3. analyze the new equilibrium.