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Chapter 2 - Coggle Diagram

- - - - Demand that is not always backed up with ability to purchase
    - - Demand that is supported by the ability to pay
  - - - Normal goods
        
        Positive relationship between income and aggregate demand
      - Inferior goods
        
        Negative relationship, cheap product when income falls
    - - joint demand
      - effect on one can effect both goods
- - - - Bigger and growing industry supply more
      - Supply could be restricted to maintain prices
    - - Competitors lowers, firm also lowers prices to maintain competition
    - - taxes, subsidies, quotas