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demand:
a list of prices and the
quantities that would be
purchased at those prices,
holding all other things
constant.
The demand is the
entire curve.
Quantity Demanded
• quantity demanded:
the quantity bought at a
particular price.
• It is a point on the demand
curve.
Equations
• Equation of demand:
q=f(p)
• Inverse demand:
p=f(q)
law of demand
A higher price never causes
a greater quantity demanded
as a substitute for other
goods.
Supply
a list of prices and
the quantities that would be
sold or rented at those prices,
holding all else constant.
quantity supplied
• the quantity sold or rented out
at a particular price.
• It is a point on the supply curve.