Economics Review

A mechanic fixing your car is a

• good

• service

A new backpack for school is a

• good

• service

Buying a new video game is a

• good

• service

A doctor giving you a checkup is a

• good

• service

Buying a computer that is on sale is a

• good

• service

What is SUPPLY?

• the amount of goods or services available.

• the amount of goods or services people want and can buy.

McDonald's bought too many fries and can't sell them before they expire. What should they do?

• Raise the price so that less people buy fries.

• Lower the price so that people buy extra fries.

A hurricane caused a shortage at the store of water bottles. There is not enough for everyone to buy. The store changed the price. What do you think happened to the price?

• The price went higher.

• The price went lower

Lucas fixes his friend's sink.  He is providing a _____________.

• trade
• opportunity cost
• product
• service

Who buys goods or services?

• Producers 
• consumers