Sunday, October 14, 2012

Chapter 2-3 Key Terms


Market*

Demand*

demand schedule*

law of demand*

diminishing marginal utility*

income effect

substitution effect

demand curve*

normal goods*

inferior goods

substitute good*

complementary good*

change in demand

Business firm*

Improve technology*

change in quantity demanded*

Supply*

supply schedule*

law of supply

supply curve*

change in supply*

change in quantity supplied*

Surplus*

Shortage*

Price ceiling*

Three functions of prices

Market equiibrium*

Demand shifts to the left or right*

Supply shifts to the left or right*