Term
| a change in demand shifts what? |
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Definition
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Term
| a change in quantity demand moves where? |
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Definition
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Term
| name some determinants of demand. |
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Definition
| 1. change in consumer tastes 2. # or composition of buyers 3. income 4. price of related good 5. change in expectations, including expectation of future prices, product availability |
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Term
| name determinants of supply. |
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Definition
| 1. resource prices 2. technology 3. changes in taxes and subsidies 4. change in price of other goods 5. change in expectations, ESPECIALLY of prices 6. # of supplies |
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Term
| example of change in consumer tastes? |
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Definition
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Term
| example of number or composition of buyers? |
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Definition
| McDonald's becoming an int'l company |
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Term
| difference between superior/normal goods and inferior goods. what influences which type of good a person will buy? |
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Definition
| superior/normal - brand name. Inferior - generic brand. *INCOME |
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Term
| example of substitute good? |
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Definition
| buying Coke when Pepsi is expensive |
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Term
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Definition
| all situations that link potential buyers w/ potential sellers |
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Term
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Definition
| curve that shows amts of a product that consumers are willing & able to purchase. **statement of a buyer's plans or intentions |
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Term
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Definition
| negative/inverse relationship between price & quantity demanded |
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Term
| why is there an inverse relationship between price and quantity demanded? |
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Definition
| 1. common sense. people buy more of a product at a low price than a high price. 2. diminishing marginal utility 3. income effect |
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Term
| diminishing marginal utility |
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Definition
| when buying the same product repeatedly provides less satisfaction than the initial purchase |
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Term
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Definition
| lower price enables the buyer to purchase more of the product |
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Term
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Definition
| used together & usually demanded together i.e. movies and popcorn, ham and eggs, XBOX and games |
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Term
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Definition
| schedule or curve showing the amts of a product that producers are willing and able to make available for sale at each of a series of possible prices during a specific period |
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Term
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Definition
| as price rises, quantity supplied rises; as price falls, quantity supplied falls |
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