MICRO in REVIEW

The study of the economic behavior of individuals, households, and other small units.

• equlibrium

• surplus

• microeconomics

• shortages

IRDL

• Increase in price means the curve shifts to the right, and a decrease in price means the curve shifts to the left

• a funny sounding word, that probably has something to do with the circular flow

• the name of Ms. Jackson's dog, that thinks he is a turtle and hangs out in the creek

• acronym to help remember which way a supply or demand curve should shift

The amount of a good available

• supply

• law of supply

• demand

• law of demand

Wanting something and being able to buy it is

• supply

• law of supply

• demand

• law of demand

As price increases, so does the quantity supplied

• supply

• law of supply

• demand

• law of demand

When an item's price is lower, people will purchase more of it.

• supply

• law of supply

• demand

• law of demand

Factors other than price that can cause overall supply or demand to change

• microeconomics

• determinants

• equilibrium

• law of microeconomics

NICEST: Number of consumers, income changes, complementary goods, expectations of consumers, substitute goods, taste of consumers

• determinants of demand

• determinants of supply

• circular flow

• business cycle

STEPING: Subsidies/taxes, technology, expectations of sellers, productivity, input costs, number of sellers, government regulations

• determinants of supply

• determinants of demand

• circular flow

• business cycle

The point where supply and demand curves meet, quantity supplied = quantity demanded

• shortage

• surplus

• equilibrium

• economic happy place