Demand vocab

______ is the desire to own something and the ability to pay for it.

• Supply

• Market schedule

• Demand

• Expectation

The _____ states that when a good’s price is lower, people will buy more of it.  Higher prices = people buy less

• Ceteris Paribus

• Law of Supply

• Law of Demand

• Inflation

The __________ ______ occur when people react to an increase in price by consuming less of that good and more of a ________ good.

• Substitution effect

• Income effect

• Wage-Price Spiral

• Federal Reserve

John buys two donuts every morning for $1 (50 cents each).  One day the price goes up to $1 each.  Now John just buys one.  The demand for donuts goes down. This is an example of the _______ effect.

• income

• Substitution

• Mandela

• Butterfly

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

• Supply schedule

• Work schedule

• NFL schedule

• Demand schedule

Lowest price on the bottom, highest on top.  Lowest quantity on the left, highest on the right. Is an example of a

• Supply schedule

• Demand Curve

• Supply Curve

• Demand Schedule