Econ Unit 2

consumers will buy less of a good at a higher price and more of a good at a lower price

• law of demand

• law of supply

• market equilibrium

which of the following is NOT a factor that changes demand

• income

• substitutes and complements

• consumer tates

• cost of production

demand or supply of a good that is sensitive to a change in price; follows law of demand and supply

• elastic demand/supply

• inelastic demand/supply

demand or supply of a good that will NOT CHANGE AMOUNT even if the price changes

• inelastic demand/supply

• elastic demand/supply

good used in place of another, especially if the price of the original item is high

• substitute

• complement

goods that are bought and used together

• complement

• substitute

producers will offer more of a good when the price is high and less of a good when the price is low

• law of supply

• law of demand

• market equilibrium

when supply or demand increases, the whole curve will move to the ________

• right

• left

when supply or demand decreases, the whole curve will move to the ________

• left

• right

intersection of supply and demand curves; where supply and demand's prices and quantities are the SAME

• law of demand

• law of supply

• market equilibrium