AP®︎ Macroeconomics: Topic 1.4 Flashcards

The quantities consumers are willing and able to buy at various prices.

The amount consumers are willing and able to buy at a specific price.

As price rises, quantity demanded falls; as price falls, quantity demanded rises.

A downward-sloping graph showing quantities demanded at different price levels.

A movement along the same curve caused only by a change in the good's price.

Higher consumer income usually increases demand, while lower income usually decreases demand.

More consumers increase market demand; fewer consumers decrease market demand.

If a substitute's price rises, demand increases; if it falls, demand decreases.

If a complement's price falls, demand increases; if it rises, demand decreases.

Expected higher future prices raise current demand; expected lower future prices reduce current demand.

Greater consumer preference increases demand, while weaker preference decreases demand.

Nonprice factors like income, buyers, substitutes, expectations, complements, and tastes shift demand.

A leftward or rightward shift of the demand curve caused by a nonprice factor.