What is an elastic good?
Demand is price sensitive, a want.
Costs that change due to the rise and fall of production.
Variable Costs
What does ceteris paribus mean?
all other things held constant.
Costs of production that do not change.
Fixed Costs
What two things must you have to be considered part of demand?
willing and able
Name three of the six determinates of demand
income, number of buyers, preference, complements, substitutes, future price.
A table describing the prices and quantities supplied of a given produce.
Supply Schedule
Give an example of a normal good.
Any name brand
The supply curve goes... (up or down)
up
_____ are goods that can be purchased in place of one another.
Substitutes
The demand curve goes... (up or down)
down
The concept that as price goes up, demand goes down...and vice versa
Law of Demand
Give an example of an exception to supply.
Anything that has been discontinued or can not be produced
Give an example of an inferior good.
Any off brand
Complementary goods are:
Goods that are purchased together
Draw a decrease in the demand curve.
shifts left
A table describing the prices and quantities demanded of a given produce.
Demand Schedule
The law of supply states, as price increases...
supply increases
What is an inelastic good?
Demand is not price sensitive, a need.