Chapter 6: Prices Review

a simplified version of a complex concept or behavior expressed in the form of an equation, graph, figure, or diagram

• economic model

• equilibrium price

• equilibrium quantity

• price

• price ceiling

price where quantity supplied equals quantity demanded

• economic model

• equilibrium price

• equilibrium quantity

• price

• price ceiling

quantity of output supplied that is exactly equal to the quantity demanded

• economic model

• equilibrium price

• equilibrium quantity

• price

• price ceiling

the monetary value of a product

• economic model

• equilibrium price

• equilibrium quantity

• price

• price ceiling

the highest legal price that can be charged for a product

• economic model

• equilibrium price

• equilibrium quantity

• price

• price ceiling

the lowest legal price that can be paid for a product

• price floor

• rationing

• shortage

• surplus

• target price

system of allocating goods and services without prices

• price floor

• rationing

• shortage

• surplus

• target price

situation where quantity supplied is less than quantity demanded at a given price

• price floor

• rationing

• shortage

• surplus

• target price

situation where quantity supplied is greater than quantity demanded at a given price

• price floor

• rationing

• shortage

• surplus

• target price

price floor for agricultural products set by the government to stabilize farm prices

• price floor

• rationing

• shortage

• surplus

• target price