1.2.1 Demand

    Cards (74)

    • Demand is the quantity of a product or service that consumers are both willing and able to purchase at a specific price
    • Consumers must be willing to purchase a product or service, which means they must have the necessary financial ability
    • The demand curve slopes downward, indicating that as the price decreases, the quantity demanded increases.
    • What does Qd represent in the demand equation?
      Quantity demanded
    • Demand refers to the specific amount consumers are willing and able to buy at a particular price.
      False
    • Match the concept with its description:
      Demand ↔️ Quantity consumers are willing and able to buy at various price levels
      Quantity Demanded ↔️ Specific amount consumers are willing and able to buy at a particular price
    • The law of demand states that as the price of a product increases, the quantity demanded decreases, and vice versa.
    • Summarize the relationship between price and quantity demanded according to the law of demand:
      1️⃣ Price increases
      2️⃣ Quantity demanded decreases
      3️⃣ Price decreases
      4️⃣ Quantity demanded increases
    • What happens to the quantity demanded for coffee if the price increases from $3 to $5 per cup?
      It decreases
    • The demand curve graphically represents the relationship between price and quantity
    • The relationship between price and quantity demanded is expressed as Qd=Qd =f(P) f(P), where Qd is the quantity demanded and P is the price
    • Match the aspect with its corresponding description:
      Definition ↔️ Total quantity consumers are willing and able to buy at various price levels
      Curve ↔️ Represented by the demand curve
    • What is the quantity demanded for smartphones if the price is $500?
      The specific amount sold
    • Demand refers to the quantity of a product or service that consumers are both willing and able
    • The demand curve typically slopes downward.
    • What does Qd represent in the equation Qd=Qd =f(P) f(P)?

      Quantity Demanded
    • The quantity demanded is the specific amount consumers are willing and able to buy at a particular price
    • The demand curve shows the specific amount consumers are willing and able to buy at a particular price.
      False
    • Demand refers to the quantity of a product or service that consumers are both willing and able
    • The demand curve is represented by a point on the graph.
      False
    • What is the law of demand?
      Inverse relationship between price and quantity demanded
    • As the price increases, the quantity demanded decreases
    • The law of demand applies only when all other factors remain constant.
    • What does P represent in the equation Qd = f(P)</latex>?
      Price
    • Match the effect of price changes on quantity demanded:
      Price Increases ↔️ Quantity Demanded Decreases
      Price Decreases ↔️ Quantity Demanded Increases
    • What are the factors summarized in the equation Qd = f(P, Y, Pr, E, D, S)</latex>?
      Price, Income, Related Goods, Expectations, Demographics, Seasonality
    • Consumer income is represented by the variable Y
    • Consumer expectations can influence demand.
    • Match the factor with its effect on demand:
      Price ↔️ Inverse Relationship
      Consumer Income ↔️ Direct Relationship
      Seasonality ↔️ Periodic Changes
    • What is a movement along the demand curve caused by?
      Change in price
    • A shift of the demand curve is caused by factors other than price
    • A shift of the demand curve moves the entire curve left or right.
    • What equation represents a movement along the demand curve?
      Qd=Qd =f(P) f(P)
    • Demand refers to the quantity consumers are willing and able to purchase at a specific price.
    • What are the key components of demand?
      Willingness and Ability
    • The demand curve slopes downward because as price decreases, the quantity demanded increases.
    • The law of demand states that as price increases, the quantity demanded decreases
    • What is the relationship between price and quantity demanded?
      Inverse
    • The inverse relationship between price and quantity demanded applies when other factors remain constant.
    • QdQd in the formula Qd=Qd =f(P) f(P) represents the quantity demanded.
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