Supply and Demand Worksheet

The amount of goods and services that a consumer is willing and able to buy at various prices in a given time period is known as:

• Supply

• Demand

• Market Equilibrium

• Want

Just in time for Black Friday, Best Buy lowers the price on its TV sets, what will happen to the supply graph for TVs?

• The quantity supplied will increase

• The quantity supplied will decrease

• The supply of TVs will increase

• The supply of TVs will decrease

What is the relationship between Price and Quantity Supplied?

• Inverse

• Direct

• Flattened

• Surplus

Which is the correct description of the demand curve?

• Downward sloping to the left

• Upward sloping to the right

• Upward sloping to the left

• Downward sloping to the right

Which of the following is NOT a benefit of the Price System in the United States?

• Prices serves as a common language

• Prices serve as signals

• Prices are flexible

• Prices ensure fairness

If the demand curve shifts to the left, one knows that:

• There has been a decrease in price

• There has been an increase in the quantity supplied

• There has been a decrease in quantity demanded

• There has been a decrease in demand

The city of Plano welcomes 1,000 new families who move to the city; what will happen to the demand for goods and services in the city of Plano?

• Demand will decrease for local goods and services

• Demand will increase for local goods and services

• Supply will increase for local goods and services

• Quantity demanded for local goods and services will increase

Based on the Law of Demand, when prices increase:

• The Quantity Demanded increases

• The Quantity Demanded decreases

• Demand increases

• Demand decreases

Which of the following is an example of a fixed cost for a business?

• Raw materials

• Wages for hourly workers

• Rent for office space

• Utility bills

True or False, changes in price are graphed as movement along the curve.

• True

• False