ECON 2000 Chapter : Econ Chapter Three
Document Summary
Supply & demand: the basic concept: those who got it, and those who want it. The 50 year old mid-life crisis divorcee, who sells the family vacation home and goes shopping for a car to pick up girls half his age, is a demander. Consumers will only demand if the price is less: fluctuating demand may be caused by, change in quantity demanded, change in demand, these are not the same. It is not that the price shifted, and quantity demanded has changed. But in watching the ads, brand association messages are intended to make consumers feel like there exist distinct differences: complement goods: these are goods which are generally consumed jointly. Sometimes the flow goes both ways, other times, not: income, t&p, prices of related goods, # of buyers in the market, expectations of price, one can better understand the shift in demand which can result.
