Econ 8.3 Supply & Demand

In the "Supply and Dance, Man" video, what were the stores selling?

economic principle stating that producers will provide more of a good or service at higher prices & less at lower prices

In a market economy, what determines the price and quantity of most goods produced?

What is first most likely to happen when demand for hula hoops increases?

the situation that arises when the quantity demanded of a product exceeds the quantity supplied

What would you expect to happen to the product if the price rose to $10.50?

In a competitive market, price is determined as buyer and seller act in their own self interest because

Equilibrium price is the price at which

Market-clearing price is the price at which quantity supplied = quantity demanded.

A shortage happens when a price is set above the equilibrium price.

economic principle stating that consumers purchase less of a good or service at higher prices & more at lower prices

the situation that results when the quantity supplied of a product exceeds the quantity demanded

On the graph, what is the equilibrium price of a pound of flour?

In a market economy, when equilibrium is reached everyone wins.

If the price of a slice of pizza rises, it would be in the best interest of the pizza-maker to keep production the same.

the price at which the quantity demanded by buyers equals the quantity supplied by sellers

The economic choices made by people in a society determine the supply, demand, and price of things.

In general, if the price of a good or service goes up, what happens to the demand for that good or service?

In the demand schedule, how many tickets would you buy at $1 a ticket?

Using the demand graph, how much coffee is demanded at $5 a cup?

In economic terms, demand is simply the desire to own something.

If Nike is producing shoes faster than people want to buy them,

Which condition would lead to the highest price?

The nature of demand indicates that as the price of a good increases: