Key term (why downward sloping?) buyers reservation price (willingness to pay) The largest dollar amount the buyer would be willing to pay for a good The benefits the buyer expects to receive (from having it The reservation price of the marginal buyer declines as the quantity of the good bought ncreases 66 Key Term (why downward sloping?) ◼ buyer’s reservation price (willingness to pay) – The largest dollar amount the buyer would be willing to pay for a good – The benefits the buyer expects to receive (from having it) – The reservation price of the marginal buyer declines as the quantity of the good bought increases