micro chapter 1 and 2 vocab

question

ceteris paribus

answer

all else equal

question

empirical

answer

using data analysis to explore economic phenomena

question

commodities

answer

goods traded where consumers view them as interchangeable

question

demand/supply choke price

answer

price at which quantity demanded/supplied is zero

question

inverse demand/supply curve

answer

demand/supply curve function but written as a function of P instead of Q

question

changes in quantity demanded/supplied

answer

shift along demand/supply curve

question

change in demand/supply

answer

shift of demand/supply curve

question

elasticity

answer

ratio of percentage change in one value to percentage change in another

question

price elasticity of demand

answer

percentage change in quantity demanded resulting from a given percentage change in price

question

elastic

answer

elasticities w/ absolute value greater than 1
Products with little to no pricing power

question

inelastic

answer

elasticities w/ absolute value less than 1
Products with lots of pricing power

question

unit elastic

answer

elasticities w/ absolute value equal to 1

question

perfectly inelastic

answer

elasticities w/ absolute value equal to 0, no change in quantity supplied or demanded when price changes

question

perfectly elastic

answer

elasticities w/ absolute value equal to infinity, any change in price causes infinite change to quantity supplied or demanded

question

income elasticity of demand

answer

ratio of the percentage change in the quantity demanded of a good to a percentage change in consumer income
measures the responsiveness of consumer purchases to income changes.

question

inferior goods

answer

have negative elasticities

question

normal goods

answer

have positive, but less than 1 elasticities

question

luxury goods

answer

elasticities above 1

question

cross-price elasticity of demand

answer

ratio of the percentage change in a good's quantity demanded to the percentage change in the price of another good

question

own price elasticity of demand

answer

%change in quantity demanded for a good resulting in a % change in the price of that good

1 of 20

question

ceteris paribus

answer

all else equal

question

empirical

answer

using data analysis to explore economic phenomena

question

commodities

answer

goods traded where consumers view them as interchangeable

question

demand/supply choke price

answer

price at which quantity demanded/supplied is zero

question

inverse demand/supply curve

answer

demand/supply curve function but written as a function of P instead of Q

question

changes in quantity demanded/supplied

answer

shift along demand/supply curve

question

change in demand/supply

answer

shift of demand/supply curve

question

elasticity

answer

ratio of percentage change in one value to percentage change in another

question

price elasticity of demand

answer

percentage change in quantity demanded resulting from a given percentage change in price

question

elastic

answer

elasticities w/ absolute value greater than 1
Products with little to no pricing power

question

inelastic

answer

elasticities w/ absolute value less than 1
Products with lots of pricing power

question

unit elastic

answer

elasticities w/ absolute value equal to 1

question

perfectly inelastic

answer

elasticities w/ absolute value equal to 0, no change in quantity supplied or demanded when price changes

question

perfectly elastic

answer

elasticities w/ absolute value equal to infinity, any change in price causes infinite change to quantity supplied or demanded

question

income elasticity of demand

answer

ratio of the percentage change in the quantity demanded of a good to a percentage change in consumer income
measures the responsiveness of consumer purchases to income changes.

question

inferior goods

answer

have negative elasticities

question

normal goods

answer

have positive, but less than 1 elasticities

question

luxury goods

answer

elasticities above 1

question

cross-price elasticity of demand

answer

ratio of the percentage change in a good's quantity demanded to the percentage change in the price of another good

question

own price elasticity of demand

answer

%change in quantity demanded for a good resulting in a % change in the price of that good

Continue to order Get a quote

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

micro chapter 1 and 2 vocab

Recent Posts

Recent Comments

Calculate the price of your order

Our guarantees

Money-back guarantee

Zero-plagiarism guarantee

Free-revision policy

Privacy policy

Fair-cooperation guarantee