the ability and willingness to buy specific quantities of a good service at alternative prices in a given time period ceteris paribus all things remain the same the negative relationship between price and quantity demanded ceteris paribus as price rises quantity demanded decreases Substitutes McDonald s fries vs Wendy s fries replacements Complements French fries and ketchup If one goes down the other goes up Price changes change in quantity demanded Ceteris Paribus holds Endogenous Change Determinant changes change in demand Ceteris Paribus broken Exogenous Change OCTOBER 2ND first exam Demand Law of Demand Demand Curve Graph Price on vertical quantity on horizontal Demand Determinants Income Wealth Prices of Other Goods Services Tastes Preferences Expectations Movement vs Shift Movement along a Curve Endogenous internal Shift in a Curve Exogenous external Supply Quantity Supplied Law of Supply Supply Curve Determinants of Supply Cost of Production Prices of required inputs The amount of a particular product that a firm would be willing and able to offer for sale at a particular price during a given time period The positive relationship between price and quantity of a good supplies an increase in market price will lead to increase in quantity supplied cid 127 cid 127 cid 127 cid 127 cid 127 cid 127 cid 127 cid 127 Technologies used Prices of Related Products Movement VS Shift Putting pieces together Equilibun cid 127 cid 127
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