Unit 3 - Supply and Demand

Front

What does this curve represent? Options: demand, supply, equilibrium, shortage

Back

supply

Front

What does this curve represent? Options: supply, equilibrium, demand, surplus

Back

demand

Front

A change in quantity demanded is shown

Back

at various points on the demand curve

Front

Consuming more of one good because of a change in price of another good is known as the

Back

substitution effect

Front

For the law of demand, as price rises, what happens to quantity demanded?

Back

it goes down

Front

For the law of supply, as price rises, what happens to quantity supplied?

Back

it goes up

Front

Market clearing price means the same thing as equilibrium

Back

True

Front

Pencils and pens are substitutes

Back

True

Front

A change in taste and style would result in a...

Back

Shift in demand

Front

The situation that exists when quantity demanded changes greatly in response to a change in price.

Back

Elastic Demand