Unit 2: Understanding Supply and Demand Concepts

What is the term for the quantity of a product that consumers want?

• Supply

• Demand

• Surplus

• Price Floor

What do we call the maximum price set by the government for a product?

• Price Floor

• Price Ceiling

• Surplus

• Invisible Hand

Which term describes the buying of high-end luxury items to display wealth?

• Price Elasticity

• Conspicuous Consumption

• Shortage

• Supply

What is the point called where supply and demand meet?

• Surplus

• Price Equilibrium

• Price Floor

• Shortage

What happens when too few goods are provided in the market?

• Surplus

• Shortage

• Price Ceiling

• Demand

Which concept refers to the amount a price for a product can rise before it causes a decrease in demand?

• Price Floor

• Price Elasticity

• Supply

• Surplus

What is the term for the minimum price set by the government for a product?

• Price Ceiling

• Price Floor

• Surplus

• Demand

If a store has more products than it can sell, what is this situation called?

• Shortage

• Surplus

• Price Equilibrium

• Demand

Which concept is described as "moves the supply and demand curve"?

• Price Floor

• Invisible Hand

• Price Elasticity

• Surplus

A government sets a price ceiling on bread. What is a likely result if the ceiling is below the equilibrium price?

• Surplus of bread

• Shortage of bread

• No change in bread market

• Increase in bread quality