The desire, ability, and willingness to buy a product

the amount of a product that sellers and willing and able to sell

Where supply and demand meet

Good that goes with something else

Government payment to an individual, business, or other group to encourage or protect certain type of economic activity

Area of economics that deals with behaviors on a small scale

States that price and quantity move in the same direction

More demand than supply

Change in quantity demanded because people buy something else to replace the product

a system under which an agency decides everyone's fair share

States that price and quantity move in opposite directions

Graph showing various quantities supplied at a given price

More supply than demand

Name two elastic goods...

a partial refund

States that the extra satisfaction we get from using additional quantities of the product begins to diminish

Name two non-price factors that can make a supply curve shift

Example of a price floor

Name two inelastic goods...

the minimum that can be charged for a good

Change in quantity demanded because of a change in consumers' real income

concept that describes the relationship between changes in output to different amounts of a single input while other inputs are held constant

the maximum that can be charged for a good

A measure of responsiveness to a good

the price that "clears the market" by leaving neither a surplus nor a shortage at the end of the trading period