The Term Demand Describes a Consumer's Willingness and Ability to Pay

question 98

True/False

The term demand describes a consumer's willingness and ability to pay for a product or service.

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Definitions:

Supply and Demand

Fundamental economic concepts that describe how the quantity of a good or service provided by producers and the quantity desired by consumers affect its price.

Equilibrium Quantity

The quantity of goods or services that is supplied and demanded at the equilibrium price.

Simultaneously Increases

Occurring when two or more variables or conditions rise at the same time.

Supply Decreases

A situation where the quantity of a good or service that producers are willing to sell at a given price falls, often due to increased production costs or external factors.