Understanding Demand and Supply Concepts

Front

What does demand refer to in economics?

Back

The overall relationship between price and quantity consumers are willing to purchase.

Front

Back

Front

What typically happens to the quantity demanded as the price of a good increases?

Back

It decreases

Front

What does the supply curve represent?

Back

The relationship between price and quantity producers are willing to sell

Front

Which of the following would cause a shift in the entire supply curve? A change in the price of the good, A new technology that reduces production costs, A change in the quantity supplied at a specific price, A movement along the existing supply curve

Back

A new technology that reduces production costs

Front

What is market equilibrium?

Back

The point where supply equals demand

Front

In the pizza market example, what happens at $2 per slice?

Back

There's a shortage of pizza slices

Front

What causes a movement along the demand curve?

Back

A change in the price of the good

Front

How does the supply curve typically slope?

Back

Upward

Front

What represents a change in supply?

Back

A shift of the entire supply curve