1st Quarter Review

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

A factory closes, and consumer spending in the town falls. What factor is affecting demand?

With voluntary exchange, a buyer and seller agree to do business together

What is the change in the amount consumers will buy because they can buy a different product?

What two factors are necessary for demand?

Government programs that protect people from economic hardship are called a

The appearance of a supply curve is

An example of underutilization is producing

According to the law of supply, when prices increases,

Car makers who use robots to do certain jobs on the line are trying to increase supply by

When a nation's economy nationalizes it changes from

Which economic concept is the measure of how responsive consumers are to price change?

Suppliers often reduce prices because they

Companies engage in competitive pricing to

To be a successful entrepreneur requires a willingness to

Public goods are funded by

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

Supply is defined as

The government uses excise taxes to

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

A market failure occurs when people who are not part of a marketplace interaction

Being guided by self-interest when making a decision means that you

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

When a nation's economy privatizes it changes from

Suppliers in a product market are

Higher prices generally

What is a market demand curve?

The additional expense of producing one more unit of a product is called

Equilibrium price is price at which the quantity of a product demanded equals quantity supplied

The ease of changing production to respond to price change determines

Consumers switched to cell phones from traditional phones. Which factor is affecting demand?

A circular flow model shows how

What term is defined as goods that consumers demand more of when their incomes rise?

A person who makes goods or provides services is called a

Business owners decide on the right number of workers by analyzing data to learn when

Total cost is the sum of

A person who does not pay for a service but benefits from it is called a(n)