Chapter 4: Demand

What is a demand schedule?

• A graph that shows how much of a product a person is able &willing to buy
• a table that shows how much of a product a market is willing to buy
• a graph that shows how much of a product a market is willing to buy
• a table that shows how much of  product a person is willing&able to buy

What is the law of demand?

• When prices go down, demand increases;whe prices go up, demand decreases
• when prices go up, demand increases;when prices go down, demand decreases
• when prices go down, quantity demanded increases;when prices go up, quantity demanded decreases
• when prices go up ,quantity demanded increases; when prices go down, quantity demanded decreases

what is the economic term for the desire to obtain a good or service and the ability to pay for it?

• complement
• elasticity
• subsitute
• demand

What is a demand curve?

• a graph showing how much an individual is willing &able to buy
• a table showing how much an individual is willing&able to buy
• a graph showing how much of a product a market is willing &able to buy
• a table showing how much of a product a market is willing&able to buy

What does a market demand curve show?

• the effect of market research on consumer prices
• the sum of all the individual demand curves in a market
• the sum of all market demand schedules in a community
• the effect of advertising on consumers in a market

Which of the following categories is most likely to have inelastic demand?

• goods that have many substitutes
• goods that have many complements
• goods that have no substitutes
• goods that have no complements

If quantity demanded changes significantly when price changes, how is demand described?

• elastic
• inelastic
• constant
• inconstant

How doe the slope on an elastic curve look?

• steep slope
• shallow slope
• vertical line
• horizontal

What is elasticity?

• the amount of variability in consumer prices under normal conditions
• the measure of how often consumers change their minds
• the amount by which businesses can raise prices without losing customers
• the measure of how responsive consumers are to price change

What determines elasticity?

• Substitutes goods or services
• proportion of income
• necessities versus luxuries
• all of the above