LS8 - Demand

Question 1

Problem Of Demand

Answer 1

How to explain changes in the price of goods and services

Question 2

Solution Of Demand

Answer 2

Develop a model that brings together 2 economic agents.

Question 3

Demand

Answer 3

The quantity of a good/service purchased at a given price over a given time period.

Question 4

Law Of Demand

Answer 4

Ceteris paribus, as the price of a good increases, quantity demanded decreases and vice versa.

Question 5

Conditions Of Demand

Answer 5

Population Size 
Changes in prices of substitutes/goods
Population Structure 
Incomes 
Advertising 
Change in taste/preference

Question 6

Substitute Goods

Answer 6

2 alternative products that could be used for the same purpose e.g. white or brown bread.

Question 7

Complement Goods

Answer 7

Products that are used together e.g. petrol & car.

Question 8

Population Structure

Answer 8

A change in age/social/cultural can impact demand.