3 supply 23 quantitysupplied lawofsupply

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: ncrease in the price of one leads to a decrease in the demand for the other Variables That Influence Buyers Variables Variable A Change in This Variable… Price Represents a movement along the demand curve positive y Incomey Price of related goods Substitutes positive complements negative Tastes Expectations positive Numbers of buyers TABLE 1 positive 2.3 SUPPLY 2.3 quantity supplied law of supply other things equal, the quantity supplied of a good rises when the price of the good rises supply schedule the amount of a good that sellers are willing and able to sell a table that shows the relationship between the price of a good and the quantity supplied supply curve a graph of the relationship between the price of a good and the quantity supplied Price of Quantity of Price of Ice­Cream Cones Cone Demanded $0.00 0 0.50 0 1.00 1 1.50 2 2.00 3 2.50 4 3.00 5 FIGURE 5 Price of Price Ice-Cream Cone3. 5 Cone 1.An 1.An increase in price… in 3 2. 5 2 1. 5 1 0. 5 0 0 1 2 3 4 5 Quantity of Ice­ cream Cones 2…increase quantity of cones supp...
View Full Document

Ask a homework question - tutors are online