Test 1
Quiz yourself by thinking what should be in
each of the black spaces below before clicking
on it to display the answer.
Help!
|
|
||||
|---|---|---|---|---|---|
| "perfectly" competitive market | show 🗑
|
||||
| example of a non competitive market | show 🗑
|
||||
| 5 elements of a supply and demand model | show 🗑
|
||||
| show | how much of a good do people want to buy at a given price; DEMAND = BUYERS
🗑
|
||||
| demand schedule | show 🗑
|
||||
| demand curve | show 🗑
|
||||
| law of demand | show 🗑
|
||||
| show | the actual amount consumers are willing to buy a good at some specific price
🗑
|
||||
| show | change in demand vs change in quantity demanded
🗑
|
||||
| change in demand (definition) | show 🗑
|
||||
| change in quantity demanded (definition) | show 🗑
|
||||
| show | if income increases, quantity demanded will increase/decrease depending on whether the good is normal or inferior
🗑
|
||||
| show | as income goes up, so does demand; the more income you have, the more you want of it; ex= diamond rings, trips to a resort
🗑
|
||||
| inferior goods | show 🗑
|
||||
| show | Δ price of related goods; Δ income; Δ tastes/preferences; Δ expectations; Δ # of consumers
🗑
|
||||
| things that cause a change in quantity demanded | show 🗑
|
||||
| changes in price of related goods/services | show 🗑
|
||||
| show | goods that in some way serve a similar function; increase in price of A means increase in demand of B; people will spend their money on one or the other (and they'll choose the cheaper one); ex: movies at home vs theater; bc A more $, 'substitute' A for B
🗑
|
||||
| show | goods that in some sense are consumed together; increase in pride of A means decrease in demand of B; bc A&B like a package deal, if one gets expensive, won't purchase other either; ex = hot dogs and hot dog buns; DVD players and DVDs
🗑
|
||||
| changes in income | show 🗑
|
||||
| show | demand up; complements
🗑
|
||||
| EX: demand for DVD players if price of Blu Ray players drops? | show 🗑
|
||||
| changes in taste | show 🗑
|
||||
| changes in expectations | show 🗑
|
||||
| show | change in taste
🗑
|
||||
| changes in number of consumers | show 🗑
|
||||
| individual demand curve | show 🗑
|
||||
| market demand curves | show 🗑
|
||||
| EX: sale of coffee at daily grind in summer vs school year | show 🗑
|
||||
| quantity supplied | show 🗑
|
||||
| supply schedule | show 🗑
|
||||
| supply curve | show 🗑
|
||||
| show | supply curves normal slope upward; the higher the price being offered, the more of any good/service producers will be willing to sell
🗑
|
||||
| shift of the supply curve (definition) | show 🗑
|
||||
| show | changes in the quantity supplied arising from a change in price
🗑
|
||||
| things that cause a change in supply | show 🗑
|
||||
| show | Δ PRICE AND ONLY Δ PRICE (movements along an existing line)
🗑
|
||||
| show | an increase in the price of an input makes the production of the final good more costly for those who produce and sell it; as what you're using becomes more $, will sell product for more (and vice versa); ex: airline ticks and cost of fuel goes up
🗑
|
||||
| input | show 🗑
|
||||
| show | very similar to that of the demand curve; involves substitutes in production and complements in production
🗑
|
||||
| substitutes in production | show 🗑
|
||||
| complements in production | show 🗑
|
||||
| changes in technology | show 🗑
|
||||
| show | changes in the expected future price of the good can lead a supplier to supply less or more of the good today
🗑
|
||||
| changes in number of producers | show 🗑
|
||||
| individual supply curves | show 🗑
|
||||
| show | combined total quantity supplied by all individual producers in the market depends on the market price of that good; horizontal sum of all individual supply curves of all producers
🗑
|
||||
| show | it's an advance in technology; makes it cheaper to produce, so at any given price, sellers are willing to sell more
🗑
|
||||
| show | oil and natural gas are compliments in production; supply curve shifts outward (right)
🗑
|
||||
| EX: drop in sugar price and supply of chocolate | show 🗑
|
||||
| EX: new restaurant opens and supply of friend appetizers? | show 🗑
|
||||
| show | "invisible hand" desire to do as well as possible surplus wise; indiv who do as well as possible pushes toward equilibrium; every buyer that wants to by = sellers that want to sell; no deals that could make either better off w/out making other worse off
🗑
|
||||
| Price will move until... | show 🗑
|
||||
| show | everyone who wants to sell has sold and everyone who wants to buy has bought; everyone else, at this price, you're not playing (people who haven't made deals/can't afford to make deals); Qd=Qs
🗑
|
||||
| show | number of deals that occur at the equilibrium price
🗑
|
||||
| market price | show 🗑
|
||||
| show | at beginning buyers don't know better; as you continue, you know it's too high and can buy for cheaper else where
🗑
|
||||
| show | at beginning, sellers don't know better; as you continue, sellers are less likely to accept such a low price if they know they can sell for higher
🗑
|
||||
| show | Qd < Qs; more stuff lying around at that price that there are people willing to buy; occurs above the intersection on the graph; downward pressure on price (supplier lower price to get people to buy; as sellers drop down, more buyers become interested)
🗑
|
||||
| shortage | show 🗑
|
||||
| show | surplus (Qd < Qs) = price drop
shortage (Qd > Qs) = price increase
🗑
|
||||
| shifts in the demand curve (effect of equilibrium price) | show 🗑
|
||||
| show | all else held constant, if supply shifts out (right) = ↑supply, ↓price, ↑quantity; if supply shifts in (left) = ↓supply, ↑price, ↓quantity
🗑
|
||||
| general rule: was in a shift in demand or shift in supply? | show 🗑
|
||||
| what happens if they both change? | show 🗑
|
||||
| show | curves move opposite direction = $ known
curves more same direction = quantity known
for ambiguous values --> depends on which magnitude is larger
🗑
|
Review the information in the table. When you are ready to quiz yourself you can hide individual columns or the entire table. Then you can click on the empty cells to reveal the answer. Try to recall what will be displayed before clicking the empty cell.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Created by:
nicook
Popular Economics sets