Demand
The amount of a good or service that consumers are willing and able to buy at a given price.
What is quantity demanded?
The amount of a good or service that producers are willing and able to sell at a given price.
What is quantity supplied?
A movement along a demand curve caused by a change in the product's own price.
What is a change in quantity demanded?
The price at which quantity demanded equals quantity supplied.
What is the equilibrium price?
If Taylor Swift announces a surprise concert and thousands of people suddenly want tickets, what happens to demand for the tickets?
What is an increase in demand?
The relationship between price and quantity demanded, holding everything else constant.
What is the law of demand?
The relationship stating that producers generally supply more of a product when its price increases.
What is the law of supply?
If the price of a product changes, does the entire demand curve shift?
What is no?
The quantity bought and sold at the equilibrium price.
What is the equilibrium quantity?
A drought destroys a large portion of the nation's coffee crops. What will likely happen to the supply of coffee?
What is a decrease in supply?
According to the law of demand, when price increases, quantity demanded generally does what?
What is decrease?
If the price of a product decreases, producers generally supply more or less?
What is less?
If the price of hamburgers increases and consumers buy more hot dogs instead, hamburgers and hot dogs are examples of what type of goods?
What are substitutes?
When quantity supplied is greater than quantity demanded, the market has this condition.
What is a surplus?
A new technology allows factories to produce twice as many smartphones using the same amount of resources. What happens to the supply of smartphones?
What is an increase in supply?
A graph showing the relationship between the price of a product and the quantity demanded.
What is a demand curve?
A graph showing the relationship between price and quantity supplied.
What is a supply curve?
If the price of cars increases and consumers buy fewer cars, which curve experiences a movement along the curve?
What is the demand curve?
When quantity demanded is greater than quantity supplied, the market has this condition.
What is a shortage?
A popular celebrity promotes a particular brand of sneakers, causing more people to want them. Which determinant of demand has changed?
What are consumer tastes/preferences?
If the price of pizza stays the same but consumers' incomes increase and they buy more pizza, this is an example of what happening to demand?
What is an increase in demand?
If the cost of producing a product rises, what generally happens to the supply of that product?
What is a decrease in supply?
Consumer tastes, income, expectations, the number of buyers, and the prices of related goods are all factors that can cause what?
What is a shift in demand?
At $10, consumers want 100 units and producers want to sell 100 units. $10 is therefore what?
What is the equilibrium price?
A new tax makes it more expensive for businesses to produce a product. What happens to supply, and what would you expect to happen to the equilibrium price?
What is supply decreasing and equilibrium price increasing?