Econ Ch. 4 Vocab Demand

The desire to own something and the ability to pay for it (willing and able)

consumers buy more of a good when its price decreases and less when its price increases

• demand

• law of demand

• market demand schedule

• demand curve

when consumers react to an increase in a good's price by consuming less of that good and more of other goods

• demand

• substitution effect

• market demand schedule

• income effect

the change in consumption resulting from a change in real income

• demand

• substitution effect

• market demand schedule

• income effect

a table that lists the quantity of a good a person will buy at each different price

• demand

• law of demand

• demand schedule

• demand curve

a table that lists the quantity of a good all consumers in a market will buy at each different price

• market demand schedule

• law of demand

• demand schedule

• demand curve

a graphic representation of a demand schedule

• market demand schedule

• supply curve

• demand schedule

• demand curve

a good that consumers demand more of when their incomes increase

• normal goods

• inferior goods

• complement

• substitute

a good that consumers demand less of when their incomes increase

• normal goods

• inferior goods

• complement

• substitute

two goods that are bought and used together

• normal goods

• inferior goods

• complement

• substitute