Government Econ

The flashcards below were created by user Katelynk1217 on FreezingBlue Flashcards.

  1. Decribe the law of demand
    Price goes up and quality of demand goes up and vice versa
  2. things that effect your decision to buy things
    Price ability willingness desire
  3. desire willingness and ability to buy a product can compete with others who have similar demands
  4. part of economic theory that deals with behavior and decision making by individual units such as people and firms
  5. people and firms make all the economic decisions to answer what how and for whom
    Market economy
  6. shows various quantities demamded of a particular product at all prices that might make up a market
    Demand schedule
  7. downward and sloping to the right and is a graph that shows the quantity at each and every price that might make up a market
    demand curve
  8. inverse relationship states that the quantity of demand varies inversely with its price
    law of demand
  9. the demand curve that shows the quantities demanded by everyone who is interested in purchasing the product
    Market demand curve
  10. the extra usefulness/additional satisfaction a person gets from acquiring or using one or more unit of a product-explains demand
    Marginal utility
  11. states that the extra satisfaction we get from using additonal quantities of a product begins to decline
    diminishing marginal unity
  12. what do businesses do to create desire and willingness
  13. Factors that affect demand
    prices changes and the quantity demand changes and movement along demand curve
  14. things that cause change in quantity demand
    income effect substitution effect
  15. what determines the demand change for an item
    consumer income consumer tastes substitutes complements change in expectations number of consumers
Card Set:
Government Econ
2015-09-23 23:50:31
Government econ

Chapter 4
Show Answers: