Law of Supply
If price increases, quantity supplied...
Increases
What is the supply shifter if the good is tea and record rainfall destroys crops?
Weather/Natural disaster
When the EP matches the EQ
Market equilibrium
What happens to EP and EQ if supply increases?
EQ increase, EP decrease
What is it called when price is set lower than equilibrium?
Price ceiling
A supply curve's slope direction
Supply to the sky
If the good is baseballs, and leather increases in price, what is the shifter?
Change in factors of production
A price floor always results in a...
Surplus
A graph that shows the amount of a good that sellers are willing and able to sell at various prices
Supply curve
Cupcakes Galore drops out of the cupcake market to focus on cake pops, what is the shifter, and what is the effect on the cupcake market?
Number of Producers, Increase of supply
Why does government sometimes set a price ceiling?
To make goods cheaper for consumers to buy