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Flashcards in Chapter 3 Terms Deck (15):
1

an item that typically experiences a decrease in demand as buyers’ incomes increase

Inferior good

2

the number of units of a product that will be bought at a given price

Demand

3

items that are usually purchased or used together

Complimentary goods

4

items that resemble one another and that may be used in place of each other

Substitute goods

5

A graphic representation of observations of utility received from some good or service

Marginal utility curve

6

A leftward shift in the demand curve representing a decrease in the willingness of buyers to demand an item at any price

Decrease in demand

7

A graph illustrating the various quantities of an item that are demanded at various prices

Demand curve

8

A tabular model displaying observations of utility received from some good or service

Marginal utility schedule

9

A situation in which the change in the price of an item causes a change in the number demanded

Change in quantity demanded

10

A rightward shift in the demand curve representing a willingness on the part of buyers to demand more of a good or service at any price

Increase in demand

11

A law stating that, everything else being held constant, the lower the price charged for a good or service, the greater the quantity people will demand and the higher the price, the lower the demand

Law of demand

12

the shifting of a demand curve experienced when demand for an item increases or decreases regardless of price

Change in demand

13

an item for which demand typically increases when the buyers’ incomes increase

Normal good

14

the tendency of people to receive less and less additional satisfaction from any good or service as they obtain more and more of it during a specific amount of time

Principal of diminishing marginal utility

15

A tabular model listing various quantities demanded at various prices

Demand schedule