The point at which the quantity of a product demanded by consumers in a market equals the quantity supplied by producers.
What is Market Equilibrium?
100
The quantity demanded at a specific price exceeds the quantity supplied.
What is Excess Demand?
100
How market equilibrium is reached.
What is the interaction between buyers and sellers, and between supply and demand?
100
Government action in order to make sure that people make enough money to live decently.
What is why governments institute a minimum wage.
200
The price at which the quantity of a product demanded by consumers equals the quantity supplied by a consumer.
What is Equilibrium Price?
200
The quantity supplied at a specific price exceeds demand.
What is Excess Supply?
200
A maximum price set by the government to prevent prices from going too high.
What is a Price Ceiling?
200
What happens to demand when prices are set too low.
What is a raise in demand?
200
Because they are supported by labor unions, because they further the goal of economic equality, and because many people benefit from them.
What is why is it difficult to end price controls.
300
The quantity of a good or service demanded by consumers and supplied by producers when the market is in equilibrium.
What is Equilibrium Quantity?
300
Government imposed limits on the prices producers may charge.
What are Price Controls?
300
A form of price control that makes it illegal to charge more than a specified amount for rental housing.
What is Rent Control?
300
What happens to demand when prices are set too high.
What is a decrease in demand?
300
In order to supply illegal goods, counterfeit goods, or goods at prices above or below market value.
What is why do black markets exist?
400
The price a willing consumer pays to a willing producer.
What is Market Price?
400
A minimum price set by the government for a good or service in order to prevent prices from falling too low.
What is a Price Floor?
400
The controlled distribution of a limited supply of a good or service.
What is Rationing?
400
1) Conveying information to consumers and producers
2) Creating incentives to work and produce
3) Allowing markets to respond to changing conditions
4) Allocating scarce resources efficiently
What are the four roles prices play in a modern mixed economy?
400
Government action in order to make sure that consumers are able to buy essential goods or services they may not otherwise be able to afford.
What is why governments implement price ceilings.
500
When producers set a price above or below equilibrium price, resulting in the quantity demanded in a market being not equal to the quantity supplied.
What is Disequilibrium?
500
A minimum price set by the government for a good or service in order to prevent prices from falling too low.
What is the Minimum wage?
500
An illegal market in which goods are traded at prices or in quantities higher than those set by law.
What is a Black Market?
500
Price ceilings such as rent control, and price floors such as a minimum wage.
What are examples of price controls?
500
Government action in order to ensure that producers receive proper benefit for the goods/services they produce.