Economics Supply and Demand

The desire to have a good or service and have the ability to pay for it is called...

(R/N #2-1)

• Supply

• Elasticity

• Demand

• Subsidy

"When prices fall, demand increases"

This is known as...

(R/N #2-1)

• The Law of Demand

• The Law of Supply

• The Rule of Law

• The Law of Price

The only real difference between an individual schedule and a market schedule is...

(R/N #2-1)

• Price

• Quantity

• Demand

• Supply

A demand curve slopes downward because of....

(R/N #2-2)

• The Substitution Effect

• The Income Effect

• Market Demand Curves

• Law of Diminishing Marginal Utility

The term used for a change in the amount of a product that a consumer will buy because the purchasing power of his or her income changes

(R/N #2-2)

• Law of Supply

• Income Effect

• Substitution Effect

• Minimum Wage

The pattern of behavior that occurs when consumers react to a change in price of a good or service by buying a substitute product

(R/N #2-2)

• Substitute Effect

• Law of Diminishing Marginal Utility

• Income Effect

• Market Demand

When the use of one product increases the use of another product, then the two products are called...

(R/N #2-3)

• Substitutes

• Inelastic

• Shortage

• Complements

Demand is ________ when a change in price leads to a large change in quantity demanded

(R/N #2-4)

• Proportional

• Inelastic

• Constant

• Elastic

Demand is __________ when a change in price leads to a small (or no) change in quantity demanded

(R/N #2-4)

• Constant

• Inelastic

• a Necessity

• Elastic

The willingness and ability of producers to offer goods and services for sale is....

(R/N #2-5)

• Demand

• Market Price

• Equilibrium

• Supply