Economics Basics

How much consumers want something

• Demand

• Barter

• Consumer

The amount of something available to customers

• Consumer

• Services

• Supply

When would the price of a bicycle go up?

• More bicycles are made than they are sold.

• People want more bicycles than are available.

• Many stores are selling the same bicycles.

What are services?

• Work that someone does for someone else
• Items that are made or grown
• Something that is not real
• Something that is used to do work for someone else

What is a consumer?

• Someone who makes or grows goods or offers services
• someone who makes products
• Something that grows in nature
• Someone who buys goods and services

What might happen if the demand for a new type of sneaker began rising quickly?

• The manufacturer would begin making fewer sneakers

• The sneaker company would raise the price of the sneakers

• People would refuse to pay more money for the sneakers

• The sneaker company would lower the price of the sneakers

According to the laws of supply and demand, when will companies produce more of a product?

• When the price people will pay for it goes down

• When demand decreases

• When they can sell it for a higher price

• When the economy turns downward

Which of these is neither a good nor a service?

• A gallon of gasoline

• A piano lesson

• A meal at a restaurant

• A $20 bill

What is likely to happen if the price of a new pair of sneakers went up?

• Demand for the sneakers would increase

• Demand for the sneakers would decrease

• Merchants would begin offering sales on the sneakers

• It would be impossible to find a pair in stores

Which condition would lead to the highest prices?

• Low supply, high demand

• High supply, high demand

• High supply, low demand

• Low supply, low demand