1. What is a competitive market? Briefly describe a type of market that is not perfectly competitive.

2. What are the demand schedule and the demand curve, and how are they related? Why does the demand curve slope downward?

3. Does a change in consumers' tastes lead to a movement along the demand curve or to a shift in the demand curve? Does a change in price lead to a movement along the demand curve or to a shift in the demand curve? Explain your answers.

4. Harry's income declines, and as a result, he buys more pumpkin juice. Is pumpkin juice an inferior or a normal good? What happens to Harry's demand curve for pumpkin juice?

5. What are the supply schedule and the supply curve, and how are they related? Why does the supply curve slope upward?