EASY Supply and Demand Vocabulary

The study of how people use things they have to meet their needs and wants is called:

• Economics

• Sociology

• Psychology

• Anthropology

What is the total amount of a product or service that producers are ready to sell at different prices?

• Demand

• Supply

• Equilibrium

• Price Elasticity

What is the amount of a product or service that buyers want and can buy at different prices?

• Demand

• Supply

• Equilibrium

• Price

The point where the supply of a product equals the demand for that product, leading to a stable price, is known as:

• Equilibrium

• Surplus

• Deficit

• Inflation

A place where buyers and sellers come together to trade goods and services is called a:

• market

• school

• hospital

• library

A situation where there is more of a product available than people want to buy, which can cause prices to go down, is called:

• Inflation

• Deflation

• Surplus

• Shortage

A situation where there is not enough of a product available to meet what people want, which can cause prices to go up is called:

• Inflation

• Scarcity

• Surplus

• Recession

What is a way to measure how much the amount of a product that people want or sell changes when the price changes?

• Price Elasticity of Demand

• Supply Chain Analysis

• Market Equilibrium

• Cost-Benefit Analysis

The difference between how much consumers are willing to pay for a product and how much they actually pay is known as:

• Consumer Surplus

• Producer Surplus

• Market Equilibrium

• Price Elasticity

The difference between how much producers are willing to accept for a product and how much they actually receive is known as:

• Consumer Surplus

• Producer Surplus

• Market Equilibrium

• Opportunity Cost