Supply and Demand
Causes a Change in Market Demand
Change in Population,Income,Taste,Expectations,and Price of Related Goods
Increase Supply
Cost of Resources Productivity Technology Subsidies (Government)
Supply Graph Curve
Various quantities of a good or service that producers are willing to sell at all possible prices
Quantity
X-axis
Proce
Y-axis
Creates Demand
Must want a Good or a Service Must be willing to buy the Good or Service Must have rhe resources to buy a Good or Service
Shortage
Not enough product
Surplus Signal
Price too high
Shortage Signal
Price too low
Demand Curve Graph
Shows the amount of product bought at all prices in a market
Equilibrium Price
Supply and Demand Meet
Upward;Left to Right
The Supply Curve slopes ______ from ______ _____ ______
Surplus
A lot of the product
Left;Right
A shift to the _____ on the Demand Curve means that Demand for that product or service will decrease. A shift to the _____ means that Demand will increase.
Left;Right
A shift to the ______ on the Supply Curve means that the product supplied will decrease. A shift to the ______ means that Supply will increase.
Downward;Left to Right
A demand curve slopes ________ from _______ _____ _____
Decrease Supply
Gov't Policies Taxes
Direct;Same
In Supply, the relationship between Price and Quantity is _____ - meaning price and quantity always move in same directions.
inverse;opposite
In demand,the relationship between Price and Quantity is _______- meaning price and quantity always move in ______ directions.
Law of Diminishing Marginal Utility
benefit gained from consuming one additional Good or Service
Elasticity of Demand
can put off buyin the product
Makes a product elastic
large # of substitudes
Marginal Utility
pleasure,usefulness, or satisfaction from using an item
Inelastic Product
product you need to have/buy
Compliment (demand)
related goods that go well with the original product
Elasticity of Supply
takes little time to produce
Substitute (demand)
takes the place of something/product
