Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
9 Cards in this Set
- Front
- Back
|
What is the law of demand |
As price increases, demand decreases, and vise versa. |
|
|
What is the law of supply |
Producers will offer more of a product for sale if the price is high and less if price is low |
|
|
What is the law of deminishing marginal utility? |
Satisfaction we get from consuming products begins to deminish |
|
|
What are the two related goods? |
Substitutes and complimentary |
|
|
What determines price? |
Supply and demand |
|
|
What is a Veblen goods? |
As price increases, demand increases due to status symbol |
|
|
What is elasticity? |
Measure of how much the market responds to a change in prices |
|
|
Why does demand shift |
T astes I ncome R elated goods E xpectations S ize of population |
|
|
Why does supply shift? |
T echnology I nternational events G overnment subsidies or reg. E xpectations of future R esource cost S ellers in the market |
