Crash Course: SUPPLY AND DEMAND

A _____ is any place where buyers and sellers meet to exchange goods and services.

• market

• swap meet

• mall

• command economy

The information that markets generate to guide a distribution of resources is what economists call ________

• price signals

• market options

• supply and demand

• emu ninja spies

What factors determine where resources should go?

• prices

• profit

• marketing plans

• invisible hand

According to the law of demand, when the price goes up, people buy _____, and when the price goes down, the people buy _____.

• less, more

• more, less

• big, small

• gold, options

What can happen in a market?

• Supply can increase

• Supply can decrease

• Demand can increase

• Demand can decrease

Because of ethical questions, the market around organ donation should be completely unregulated.

• False

• True

The Law of Supply and Demand is not an absolute law.

• True

• False

The supply of government services, like firefighters and police officers, should not operate according to the market approach.

• True

• False

Market transactions can be described as

• win win

• Win for the seller lose for the buyer

• Win for the buyer and lose for the seller

• lose lose

What is the definition of a market?

• A place where people meet to exchange goods and services

• A place to buy food

• Supply and demand