Overview
The demand curve and schedule are fundamental concepts in economics that illustrate how price affects consumer purchasing behavior. The demand curve is a graphical representation, while the demand schedule is a tabular format. Understanding these concepts helps in analyzing market dynamics and consu...
Key Terms
Example: High demand for smartphones leads to increased production.
Example: A demand schedule for ice cream might show that at $2, 50 cones are sold.
Example: The demand curve for coffee slopes downward from left to right.
Example: An increase in consumer income can shift the demand curve for luxury cars to the right.
Example: Butter and margarine are substitutes; if butter prices rise, margarine demand may increase.
Example: Peanut butter and jelly are complements; if peanut butter prices rise, jelly demand may decrease.