Microeconomics Vocabulary Flashcard

Front

Which law states that the price of a good and the quantity demanded have an inverse relationship?

Back

law of demand

Front

When there is a single seller in the market, it is called a _______?

Back

monopoly

Front

The __________ ________ is where the supply of goods matches demand.

Back

equilibrium price

Front

An ___________ is when a few companies have significant control over a given market.

Back

oligopoly

Front

A is the lowest legal price that can be paid in a market for goods and services, labor, or financial capital.

Back

price floor

Front

________ ________ exists when many companies offer competing products or services that are similar, but not perfect, substitutes.

Back

monopolistic competition

Front

A ________ is a business entity that is owned by its shareholders.

Back

corporation

Front

A _______ _______ is the highest point at which goods and services can be sold.

Back

price ceiling

Front

What happens when there is more supply than demand?

Back

surplus

Front

A _______ _______ is an unincorporated business that has just one owner.

Back

sole proprietorship