Econ202

Last update by fishingfreak1122 on 04/03/2013
45889 People have viewed this Quiz
  • Share

The law of demand assumes that as the price of a good increases,Answer

Answer:
buyers are willing and able to purchase at alternative prices

View Econ202 as Flashcard Deck

Related Quiz Content
  • amanda potter 09
    Answered in Econ202
    the law of demand states that
    price and quantity demanded are inversely related
  • amanda potter 09
    Answered in Econ202
    in what ways is consumer demand different from consumer wants
    demand accounts for ability to pay
  • amanda potter 09
    Answered in Econ202
    movements along the demand curve are called changes in
    quantity demanded
  • amanda potter 09
    Answered in Econ202
    suppose you drink less tea because the price of coffee has decreased. which of the following best explains your action
    the substitution effect
  • amanda potter 09
    Answered in Econ202
    the income effect refers to the impact of a change in
    the price of a good on purchasing power of income
  • amanda potter 09
    Answered in Econ202
    which of the following is true of the relationship between price and quantity supplied
    there is a direct relationship
  • amanda potter 09
    Answered in Econ202
    which of the following is the reason supply curves typically slope upward
    opportunity cost of production increases as quantity supplied increases
  • amanda potter 09
    Answered in Econ202
    if the supply of a product decreases, then
    demand for the good must have increased
  • amanda potter 09
    Answered in Econ202
    when a market is at equilibrium,
    there is no incentive for consumers or producers to change their current behavior
  • amanda potter 09
    Answered in Econ202
    when the quantity demanded of a good is greater than the quantity supplied at the prevailing market price
    the price of the good tends to rise
  • amanda potter 09
    Answered in Econ202
    what is a likely effect of a decrease in the price of potato chips on the market for pretzels
    both equilibrium price and quanitity will fall