Changes in Demand

A computer company launches a new computer laptop.

• Number of Consumers

• Consumer Income

• Substitutes

• Consumer Expectations

The demand for ketchup and ketchup go up.

• Compliments

• Consumer Expectations

• Substitute

• Consumer Income

The demand for milk and cookies goes down.

• Consumer Expectations

• Compliments

• Substitutes

• Consumer Income

A new professional soccer team is coming to Fresno.

• Number of Consumers

• Expectations

• Substitutes

• Consumer Income

You just got a new promotion at work and are able to buy more shoes.

• Number of Consumers

• Consumer Income

• Consumer Expectations

• Substitute

This effect means that as prices drop, consumers are left with extra real income.

• Substitution Effect

• Income Effect

• Consumer Effect

• Economic Effect

This effect means that price can cause consumers to substitute one product with another similar product.

• Income Effect

• Consumer Effect

• Demand Effect

• Substitution Effect

This economic term is used to describe the amount of usefulness or satisfaction.

• Uselessness

• Unpredictability

• Utility

• Product Satisfaction

This term is used to describe the extra usefulness or satisfaction a person gets from acquiring or using one more unit of a product.

• Marginal Utility

• Income Utility

• Unit Utility

• Unit Satisfaction

This concept is used to describe the decrease in satisfaction we get from using additional quantities of products.

• Marginal Utility

• Lower Satisfaction Utility

• Diminishing Marginal Utility

• Increase Marginal Utility