ECO 108 Lecture Notes - Lecture 1: Demand Curve
7 Feb 2017
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Document Summary
As incomes rise, people pull children out of workforce. Law of demand: when price goes up, quantity demanded goes down works as a function. Supply & demand: quantity demanded of a good is targeted at a certain population during a certain time period number that changes when price changes. Amount this group wants to buy during that time, assuming that nothing else changes the only thing that can change is price: demand: a function that does not change with price. Demand only changes when something outside of price changes demand curve will then shift (d d") (eg. , discovery that coffee makes you live longer curve shifts up) Change in price of a different product that is related to curve product will produce a curve shift (eg. , increased price of tea will shift demand curve of coffee) Price change effects are already built into the demand curve.
