AP Micro Unit 2 Test Word Scramble
|
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
Question | Answer |
Law Of Demand | As Price goes up Quantity Demanded goes down and vice versa |
Law of Supply | As price goes up Quantity Supplied goes up and vice versa |
Change in buyers tastes and preferences. Change in income. Change in # of consumers. Change in prices of related goods. Change in expectation. | 5 Determinants of Demand |
Change in resource prices. Change in technology. Change in taxes and subsidies. Change in expectations. Change in # of suppliers. Change in prices of related goods. | 6 Determinants of Supply |
Change in expectation | The weatherman stated that this summer would be the hottest summer in history. |
Change in Taste or Preferences | Scientists at Columbia University believe that Hawaiian Punch could increase life expectancy. |
Change in income | I got a raise today and I want steak. |
Change in number of consumers | 9 months after prom there were many babies born which increased the demand for diapers. |
Change in Prices of Related Goods | 1 gallon of milk cost me 1 dollar but cereal cost me 10. |
Change in Resource Prices | The price of wood jumped from 50 to 100 so we have to produce less. |
Change in technology | The new chef master 5000 can make any food for any restaurant. |
Changes in taxes and subsidies | The government taxes the paper company a 5 dollar tax for every log the chop down. |
Change in number of suppliers | More drug stores are opening up allowing for more possibly cheaper options |
Normal Goods | A good/service whose consumption increases when income increases and vice versa. (price stays the same) |
Inferior Goods | A good/service whose consumption declines as income increases. |
Complementary Goods | Goods that are usually used or demanded together. |
Substitute Goods | One good that can be used in place of another. |
Complementary goods | What kind of goods are socks and shoes? |
Substitute goods | Chicken is too expensive so I am going to buy turkey |
Inelastic Demand | any value below 1. Demand for these products is relatively insensitive to price changes. Hard to Substitute. |
Elastic Demand | any value above 1. The demand of these products is very sensitive to price changes. Easily substitutable. |
Unit Elastic Demand | any value equaling 1. Equilibrium. |
Luxury Vs. Necessity Substitutability % of income Time | 4 Determinants of Elasticity of Demand |
Time Substitutability % of Income Luxury v. Necessities | Determinant of Elasticity of Supply |
Market Period | Supply cant change |
Short Run | can change supply by altering variable costs |
Long Run | Change in all your costs |
Midpoint Formula | Change in quantity divided by the Sum of Quantites/2 divided by Change in price divided by the sum of prices/2 |
Created by:
erikmurphy
Popular Business sets