AP Microeconomics Unit 2 Academic Vocabulary

Question 1

Legal restrictions on how high or low a market price may go.

Accepted Answer

price controls

Question 2

The insufficiency of a good or service when the quantity demanded exceeds the quantity supplied

Accepted Answer

shortage

Question 3

A good for which a rise in income increases the demand for that good.

Accepted Answer

normal goods

Question 4

The actual amount of a good or service consumers are willing to buy at some specific price.

Accepted Answer

quantity demanded

Question 5

The net gain (good deal) to an individual buyer from the purchase of a good;

Accepted Answer

consumer surplus

Question 6

A rise in the price of this good leads to an increase in the demand for the other good.

Accepted Answer

substitutes

Question 7

A rise in the price of one good leads to a decrease in the demand for the other good.

Accepted Answer

complements

Question 8

Describes a market or economy in which there are missed opportunities;

Accepted Answer

inefficient

Question 9

A table showing how much of a good or service consumers will want to buy at different prices.

Accepted Answer

demand schedule

Question 10

The net gain to an individual seller from selling a good

Accepted Answer

producer surplus

Question 11

A good for which a rise in income decreases the demand for the good.

Accepted Answer

inferior goods

Question 12

Occurs when a market fails to be efficient.

Accepted Answer

Market failure

Question 13

A graphical representation of the supply schedule.

Accepted Answer

supply curve

Question 14

The actual amount of a good or service producers are willing to sell at some specific price.

Accepted Answer

quantity supplied

Question 15

A market in which there are many buyers and sellers of the same good or service.

Accepted Answer

competitive market

Question 16

A high price for a good or service, leads people to demand a smaller quantity of that good.

Accepted Answer

law of demand

Question 17

A legal floor on the wage rate.

Accepted Answer

minimum wage

Question 18

A market in which goods or services are boughtand sold illegally

Accepted Answer

black market

Question 19

The case in which the quantity demanded does notrespond at all to changes in the price

Accepted Answer

perfectly inelastic demand

Question 20

A minimum price buyers are required to pay for a good or service

Accepted Answer

price floor

Question 21

The excess of a good or service when the quantity supplied exceeds the quantity demanded

Accepted Answer

surplus

Question 22

A maximum price sellers are allowed to charge for a good or service

Accepted Answer

price ceiling

Question 23

The price in which quantity demanded is equal to quantity supplied.

Accepted Answer

equilibrium price

Question 24

The case in which any price increase will causethe quantity demanded to drop to zero

Accepted Answer

perfectly elastic demand

Question 25

A good or service used to produce another good or service.

Accepted Answer

input

AP Microeconomics Unit 2 Academic Vocabulary

Questions 25

AP Microeconomics Unit 2 Academic Vocabulary

Questions 25