EC Chapter 6 Seeking Equilibrium: Demand and Supply

19. Other companies found competing with Dell computers difficult because Dell's

8. A coffee shop would experience a shortage if it supplied 30 muffins

21. A baseball team limiting the amount charged for buying a ticket is

27. To make sure an army receives needed goods during a war, a government would often establishes

24. Why does the government sometimes establish price floors?

26. Which of the following is an example of a price floor?

17. A surplus of a particular good is often a signal for a consumer to

12. The price system helps to allocate resources efficiently because prices will adjust until

18. A shortage of a particular good is often a signal for a producer to

22. Rent control has become less common because it

20. The maximum amount that sellers may charge for a good or service is called a

30. Will I pass this Test?

29. Rationing would most likely result from a

25. Which good does the government often establish price floors for?

2. On a market demand and supply graph, the vertical axis shows

4. If a producer supplies 25 pizzas, market equilibrium is reached when consumers demand

15. When consumers demand more goods and services at every price, equilibrium price will

13. Lower prices generally

23. If a government set a limit on the cost of baseball bats, this type of action would be called

5. When there is a shortage, producers raise prices in an attempt to

14. Companies engage in competitive pricing to

9. A state of disequilibrium happens when an imbalance exists between

7. A fruit stand would experience a surplus if it supplied 20 oranges

3. On a market demand and supply graph, the point of market equilibrium always happens

1. Equilibrium is the price at which the quantity of a product demanded by consumers n the quantity supply by producers

16. When producers supply more, equilibrium price will

11. In the price system of a market economy, prices are determined by

28. The United States instituted rationing during

6. Suppliers often reduce prices because they

10. A gas owner decides to charge less for his gasoline than the gas across the street. Doing this is an example of