Matching
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Identifying Key
Terms
Match each
term with the correct statement below. a. | elasticity of demand | f. | total revenue | b. | substitution effect | g. | normal good | c. | law of demand | h. | inferior good | d. | complement | i. | demand curve | e. | substitute | j. | ceteris paribus |
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1.
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a good that consumers will
demand more of when their incomes increase
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2.
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a good that is always used
with another good
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3.
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what happens when consumers
react to an increase in a good’s price by consuming less of that good and more of other
goods
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4.
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the amount of money a company
receives by selling goods or services
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5.
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the way that a change in price
determines whether or not consumers buy goods
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6.
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a measure of how people change
their buying patterns when prices change
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7.
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a graphic representation of a
demand schedule
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8.
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a good that replaces another
demanded good
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Identifying Key
Terms
Match each
term with the correct statement below. a. | total revenue | f. | elasticity of demand | b. | income effect | g. | demand curve | c. | elastic | h. | substitute | d. | inferior good | i. | ceteris paribus | e. | normal good | j. | complement |
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9.
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the change in consumption
resulting from a change in real income
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10.
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a good for which the demand
falls when income rises
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11.
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a graphic representation of
the quantities of a good that will be bought at each price
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12.
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a good consumed instead of one
whose price has risen
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13.
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the assumption that nothing
but the price of a good will change
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14.
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a good that is bought and used
along with another good
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15.
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a measure of how consumers
react to a change in the price of a good
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16.
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demand that is very sensitive
to a change in price
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