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Economics IG 1 Ch 6-11

When demand changes a lot when price changes.
This exists when demand for a product matches the supply for the product.
Goods or services that could be used instead of each other.
A fall in the quantity demanded for a product following an increase in price.
Refers to t he system of relying on the market forces of demand and supply.
Where the change in demand change only a little when price changes
This refers to a situation where the market price is below the equilibrium price.
Market forces
This occurs when firms charge different prices to different customers.
The use of a product enhances the use of the other product.
The willingness and ability of consumers to buy a product
This occurs when demand exceeds supply because the price is lower than the market equilibrium.
The willingness of suppliers to supply a certain amount at a certain price