Economics Unit 2: Microeconomic Concepts

A price floor will result in a ______

The change shown in the graph is a ______

What happens to P & Q if a massive fire destroys a factory?

Households make their resources available for purchase in the ________

If multiple firms go out of business, what change will occur to the entire market?

Is demand for gasoline elastic or inelastic?

a measure of how much quantity demanded changes in response to a change in price

Businesses receive their revenue from the ______________

A(n) ____ product will have a relatively small change in quantity demand when the price changes

The change shown in this graph is a _____

The change shown in the graph below is a 

Emergency medical care has ________ demand

A price ____________ is set above the equilibrium price

If there is an increase in price, what change will occur?

What is the term for a government payment to a business?

A change in ________ causes different amounts for sale at ALL prices

T or F: At market equilibrium the quantity supplied is equal to the quantity demanded.

If there is a decrease in price, what change will occur?

Is potato chip demand elastic or inelastic?

Which of these has the most inelastic supply?

A price ceiling will result in a ______

Milk and cereal are examples of __________ products

What happens to P & Q if a product is proven to cause severe health problems in children?

Butter and Margarine are considered ___________ products

The law of demand states that as price increases, the quantity demanded of a product will _____

The law of supply says that at a higher price, __________ will be offered for sale

A price ____________ is set below the equilibrium price

What does letter E represent in the graph?

T or F: A desire to buy a product is the only requirement needed for demand to exist.

If the need for a product is not urgent, the product tends to be demand _________

What happens to P & Q if a product becomes extremely popular with consumers?

The change shown in the graph below is a

What happens to P & Q if a firm discovers a way to make their production much cheaper & easier?

Chocolate milk has ______ demand

When quantity supplied is greater than quantity demanded, a(n) _________ will result

A change in _______ is ALWAYS AND ONLY a result of a change in price

replacing a more costly item with a less costly item is an example the ______ effect

Minimum wage is an example of a _______

If the government loosens its regulations, what change will occur?

Households spend their money in the ________

When quantity demanded is greater than quantity supplied, a(n) _________ will result