文档介绍：The Market Forces of Supply and Demand
Chapter 4
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The Market Forces of Supply and Demand
Supply and demand are the two words that economists use most often.
Supply and demand are the forces that make market economies work.
Modern microeconomics is about supply, demand, and market equilibrium.
The Concept of Demand. . .
Demand refers to the amount (quantity) of a good that buyers are willing and able to purchase at alternative prices for a given period.
Two conditions for the demand of a good:
Purchasing desire
Purchasing power
Demand
Quantity demanded is the amount of a good that buyers are willing and able to purchase at a price.
Determinants of Demand
Market price
Consumer e
Prices of related goods
Tastes
Expectations
Law of Demand
The law of demand states that there is an inverse relationship between price and quantity demanded, other things being constant.
Consumer e
As e increases the demand for a normal good will increase.
As e increases the demand for an inferior good will decrease.
Substitutes are often pairs of goods that perform the same function and are used in place of each other.
Complements are often pairs of goods that are used together to perform a function, such puters and software.
Demand Schedule