Download An economic system which relies on the price mechanism to

An economic system which relies
on the price mechanism to
allocate resources
A Market Economy
A movement along a demand
curve as a result of a fall in the
price of a product.
Change in Quantity Demanded
A shift in the demand curve to the
right
 Increase
in demand
The willingness and ability to sell
a product
Supply
A Decrease in Quantity
Supplied
A
movement along a supply curve as a
result of a fall in the price of the product
Market Supply
 The
______ ______ of a product will
consist of the amount supplied by all the
individual producers competing to
supply that product.
What is the difference between
economic cost and accounting
cost?
 The
inclusion of the dollar value of factors
of production that a firm does not pay
money for.
What is the best alternative
forgone?
Opportunity cost
Market Equilibrium
 This
is where the quantity demanded of
a product is equal to the quantity
supplied.