Law of Supply and Demand
What is the relationship between price and quantity demanded
What is Inverse
A change in price causes a change in what: Demand or Quantity demanded?
What is quantity demanded?
When the government sets a maximum price it is called a
If price increases but demand changes very little, the good is?
What is inelastic?
What kind of relationship exist between price and quantity supplied?
What is Direct?
A movement up along the demand curve is caused by what?
What is a price increase?
When the government sets a minimum price it is called a
What is Price Floor
When consumers have many options is the product elastic or inelastic
What is elastic?
What direction does the demand curve slope?
What is Downward/Ground?
When the supply curve shifts to the left what happens to the demand?
What is a decrease in supply
What happens if the price ceiling is set below the equilibrium?
What is a Shortage?
What happens to demand for inferior goods when income decreases?
What is demand increases?
What direction does the supply curve slope?
What is Upward/ To the sky ?
What happens to the demand curve when there is an increase in the number of buyers?
What is an increase in demand/ shifts right?
What happens if the price floor is set above the equilibrium?
What kind of goods are hot dogs and hamburgers?
What are substitutes?
If the price of a product increases, what happens to the quantity demanded
What is Decreases?
What happens to the supply curve when input/resource prices fall?
What is it shifts right/ increases supply?
If the government gives a ____ this will cause supply to increase.
What is Subsidy
What happens to burrito demand if income falls and burritos are a normal good?
What is demand decreases?