7: Markets and Equilibrium Flashcards by Gina Elliott | Brainscape

Q

Equilibrium (3)

A

The point where there is a balance
Between supply and demand
Making the price stable

How well did you know this?

1

Not at all

2

3

4

5

Perfectly

Q

Market Price (3)

A

The price of a commodity
That has been established by the market
That is, where supply equals demand

How well did you know this?

1

Not at all

2

3

4

5

Perfectly

Q

Commodity markets (4)

A

Undifferentiated products, such as rice, oil or gold
Every kilo is the same
So traders can buy and sell
Without needing to worry which kilo they are dealing in

How well did you know this?

1

Not at all

2

3

4

5

Perfectly

Q

Demand curve (2)

A

A line showing the demand for a product at different prices
Higher the price, lower the demand (usually)

How well did you know this?

1

Not at all

2

3

4

5

Perfectly