Match each of the terms on the left with its definition on the right. Click on the term first and then click on the matching definition. As you match them correctly they will move to the bottom of the activity.
Normal good Movement along the supply curve Complements Demand curve Inferior good Competitive market Surplus Market-clearing price Equilibrium quantity Input Supply curve Shift of the demand curve Quantity demanded Law of demand Equilibrium price Individual supply curve Shift of the supply curve Supply and demand model Movement along the demand curve Supply schedule Quantity supplied Shortage Individual demand curve Substitutes Demand schedule | a change in the quantity supplied of a good or service at any given price, represented graphically by the change of the original supply curve to a new position, denoted by a new supply curve. the actual amount of a good or service producers are willing to sell at some specific price. a list or table showing how much of a good or service consumers will want to buy at different prices. the actual amount of a good or service consumers are willing to buy at some specific price. a good for which a rise in income decreases the demand for the good. a graphical representation of the relationship between quantity demanded and price for an individual consumer. the price at which the market is in equilibrium, that is, the quantity of a good or service demanded equals the quantity of that good or service supplied; also referred to as the market-clearing price. a graphical representation of the relationship between quantity supplied and price for an individual producer. the price at which the market is in equilibrium, that is, the quantity of a good or service demanded equals the quantity of that good or service supplied; also referred to as the equilibrium price. the principle that a higher price for a good or service, other things equal, leads people to demand a smaller quantity of that good or service. a model of how a competitive market behaves. a good or service used to produce another good or service. a graphical representation of the supply schedule, showing the relationship between quantity supplied and price. a list or table showing how much of a good or service producers will supply at different prices. a change in the quantity supplied of a good that results from a change in the price of that good. a change in the quantity demanded of a good that results from a change in the price of that good. pairs of goods for which a rise in the price of one of the goods leads to an increase in the demand for the other good. the insufficiency of a good or service that occurs when the quantity demanded exceeds the quantity supplied; shortages occur when the price is below the equilibrium price. a change in the quantity demanded at any given price, represented graphically by the change of the original demand curve to a new position, denoted by a new demand curve. the excess of a good or service that occurs when the quantity supplied exceeds the quantity demanded; surpluses occur when the price is above the equilibrium price. a good for which a rise in income increases the demand for that good—the “normal” case. a graphical representation of the demand schedule, showing the relationship between quantity demanded and price. the quantity of a good or service bought and sold at the equilibrium (or market-clearing) price. a market in which there are many buyers and sellers of the same good or service, none of whom can influence the price at which the good or service is sold. pairs of goods for which a rise in the price of one good leads to a decrease in the demand for the other good. |