Demand and Supply

When a consumer has the ability and willingness to pay for a good, this is called;

• Want

• Desire

• Demand

• Law of Demand

________goods are goods where the demand is negatively relatedto income

• Complement

• Subsitute

• Normal

• Inferior

Which of the following pairs are subsitute?

• Mobile phone and charger

• Wool and cotton

• Salt and pepper

• Tea nad sugar

Sugar and honey are viewed as subsitutes for each other for many recipes. If the prices of sugar rises, what can be expected the

• demand for honey to increase

• demand for honey to decrease

• quanitity demanded for honey to increase

• quantity demanded for honey to decrease

The relationship between the quantity

of a good demanded by a single individual

and its price.

Above statement refers to

• Individual Demand

• Market demand

Measures the sensitivity/responsiveness

of the quantity demanded of one product

due to a change in the price of a related product.

Above statement refers to

• Cross Elasticity of demand

• Cross Elasticity of Supply

• The law of demand

The ability and willingness

to sell or produce a particular product

and services in a given period of time

at a particular price, ceteris paribus.

• Law of Supply

• Law of Demand

• Price Elasticity of Demand

• Inelastic Supply

Determinants of Price Elasticity of Supply

• Improvement in infrastructure

• Government Policies

• Technological advancement

• Price of related goods