Supply and Demand (Unit 2)

Front

A demand schedule is best described as ______.

Back

data.

Front

When the price of something increases, the quantity demanded ____.

Back

decreases.

Front

marginal (in the context of marginal utility)

Back

additional

Front

Why is a demand curve downward sloping?

Back

because quantity demanded increases as price decreases

Front

Why is the Law of Demand called a "law"?

Back

because it has been demonstrated repeatedly

Front

A change in quantity demanded is represented by

Back

movement along the demand curve.

Front

What is the main cause of a change in quantity demanded?

Back

change in price

Front

What is the relationship between income and demand?

Back

An increase in income increases demand.

Front

Which of the following replaces a costly item with a less costly one?

Back

the substitution effect

Front

Demand elasticity is the extent to which a change in price causes a change in the quantity demanded.

Back

True