demand and supply prices

Question 1

as buyers and sellers interact, the market moves towards ___________

Answer 1

market equililbrium

Question 2

_______ is the price at which quantity demanded and quantity supplied is equal

Answer 2

equilibrium price

Question 3

vertical axis shows __________

horizontal shows____________

Answer 3

various prices

quantity

Question 4

_______ is the result of quantity supplied being greater than quantity demanded – lower prices to fix

Answer 4

surplus

Question 5

_______ is the result of quantity demanded being greater than quantity supplied – raise prices to fix

Answer 5

shortage

Question 6

if demand decreases or supply increases then _______

Answer 6

equilibrium price falls

Question 7

if demand increases or supply decreases then _______

Answer 7

equilibrium price rise

Question 8

_________ is the legal maximum price that sellers may charge for a product

Answer 8

price ceiling

Question 9

________ is a legal minimum price that buyers must pay for a product

Answer 9

price floor

Question 10

________ is the legal minimum amount a person can be payed

Answer 10

minimum wage

Question 11

__________ is a system in which the government allocates goods and services using factors other than price

Answer 11

rationing

Question 12

________ is the illegal buying and sellings of goods

Answer 12

black market

Question 13

binding price ceiling occurs ______ equilibrium

Answer 13

below

Question 14

binding price floor occurs _____ equilibrium

Answer 14

above